Presenting the bank of italy’s annual report, Panetta Warned about the Growing Links Between the World of Crypto -ssets and the Traditional Financial System, POINTING To the Rising Number of Accordes Betwane Banx And digital asset provides.
“Crypto -sset Holders Occur, “Panetta said.
Italy’s biggest bank Intesa Sanpaolo in January Carried Out What Ceo Carlo Messina Described as “A Test”, by Buying 1 Million Euros in Bitcoins, The World’s Largest Digital Currency.
Intesa set up a proprietary trading desk for digital assets in 2023, and last year started handling spot trades with crypto-cats.
Spain’s santander is weighting a digital asset expansion, include early-stage plans to offer a stablecoin as well as access to cryptocurrerencies for retail customers of its digital branch, bloomberg Reported on Thursday.
Panetta Said StableCoins, which are designed to maintain a stable value Against underling currency or assets, posd a thret to traditional means of payments if paid Platforms decided to promote their use.
“In the absence of adequate regulation, their suitation as a meaning of payment is doubtful, to say the least,” He said.
The Central Banker Warned, however, that it would be foolish to think that the spread of crypto -ssets, include stablecoins, can be curbed simply by imposing restructations.
“What is needed is a response that matches the ongoing technological transformation,” He said, adding that “the digital euro project stems preachisely from this need.”
The European Central Bank is Working to Develop a digital currency to compte with private alternatives that Risk undermining the role of Central Bank Money.
(Reporting by Valentina Za, Editing by Gavin Jones)