ECB Governor Calls For Tax on Bitcoin

Ewald Nowotny call governments to regulate bitcoin, labelling the cryptocurrency an object of speculation and a tool for money laundering
03 January 2018   1252

Ewald Nowotny, member of the European Central Bank ’s governing council, said in an interview with German paper Sueddeutsche Zeitung on Wednesday that governments should regulate and tax bitcoin, labelling the cryptocurrency an object of speculation and a tool for money laundering.

We need a value-added tax on bitcoin, since it's not a currency. It can't be allowed that we've just decided to stop printing 500-euro notes to fight money laundering, that we've slapped strict rules on every tiny savings club, and then have to watch people blithely laundering money around the globe with bitcoin. One ought to apply what the basic rule is in any other financial transaction: everyone involved should reveal their identity.

 

ECB governing council member

Ewald Nowotny

Nowotny's comments echo those by other ECB officials, who regard the bitcoin's spectacular surge in value as a bubble, rather than a sign it could be a digital competitor to the euro single currency used by its 19 member nations.

Recently, we have reported that the Bank of Israel is considering issuing digital currency in order to create a faster payments system as well as reducing the amount of cash in the economy.

SoftBank Founder to Lose $130M Due to BTC Investment

Masayoshi Son bought Bitcoin at the peak price and sold in the beginning of 2018
23 April 2019   125

Billionaire and head of the Japanese media corporation SoftBank Masayoshi Son made a major bet on the growth of Bitcoin during its price peak, which led to losses of more than $ 130 million, The Wall Street Journal reports, citing informed sources.

The exact amount of investment is unknown. However, the publication reports that Son acquired “digital gold” at the end of 2017, when BTC price confidently moved to around $ 20,000. Against the background of a sharp fall in early 2018, the investor got rid of the asset, fixing the loss.

Masayoshi Son is famous for his extreme risk appetite. So, at one time he invested in the Alibaba Group after a five-minute conversation with its founder, Jack Ma. Also, Son decided to invest $ 200 million in a startup dealing with solutions for growing vegetables indoors, thinking only about 30 minutes.

Some time ago, SoftBank's investment division sold Nvidia shares for $ 3.6 billion. The decision was made after a significant reduction in the capitalization of the manufacturer of video cards.