{"id":466529,"date":"2022-06-22T15:41:36","date_gmt":"2022-06-22T12:41:36","guid":{"rendered":"https:\/\/en.buradabiliyorum.com\/ecb-head-calls-for-separate-framework-to-regulate-crypto-lending\/"},"modified":"2022-06-22T15:41:36","modified_gmt":"2022-06-22T12:41:36","slug":"ecb-head-calls-for-separate-framework-to-regulate-crypto-lending","status":"publish","type":"post","link":"https:\/\/buradabiliyorum.com\/en\/ecb-head-calls-for-separate-framework-to-regulate-crypto-lending\/","title":{"rendered":"# ECB head calls for separate framework to regulate crypto lending"},"content":{"rendered":"<div id=\"ez-toc-container\" class=\"ez-toc-v2_0_84 counter-hierarchy ez-toc-counter ez-toc-custom ez-toc-container-direction\">\n<p class=\"ez-toc-title\" style=\"cursor:inherit\">Table of Contents<\/p>\n<label for=\"ez-toc-cssicon-toggle-item-6a2400b5b5875\" class=\"ez-toc-cssicon-toggle-label\"><span class=\"\"><span class=\"eztoc-hide\" style=\"display:none;\">Toggle<\/span><span class=\"ez-toc-icon-toggle-span\"><svg style=\"fill: #dd3333;color:#dd3333\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" class=\"list-377408\" width=\"20px\" height=\"20px\" viewBox=\"0 0 24 24\" fill=\"none\"><path d=\"M6 6H4v2h2V6zm14 0H8v2h12V6zM4 11h2v2H4v-2zm16 0H8v2h12v-2zM4 16h2v2H4v-2zm16 0H8v2h12v-2z\" fill=\"currentColor\"><\/path><\/svg><svg style=\"fill: #dd3333;color:#dd3333\" class=\"arrow-unsorted-368013\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" width=\"10px\" height=\"10px\" viewBox=\"0 0 24 24\" version=\"1.2\" baseProfile=\"tiny\"><path d=\"M18.2 9.3l-6.2-6.3-6.2 6.3c-.2.2-.3.4-.3.7s.1.5.3.7c.2.2.4.3.7.3h11c.3 0 .5-.1.7-.3.2-.2.3-.5.3-.7s-.1-.5-.3-.7zM5.8 14.7l6.2 6.3 6.2-6.3c.2-.2.3-.5.3-.7s-.1-.5-.3-.7c-.2-.2-.4-.3-.7-.3h-11c-.3 0-.5.1-.7.3-.2.2-.3.5-.3.7s.1.5.3.7z\"\/><\/svg><\/span><\/span><\/label><input type=\"checkbox\"  id=\"ez-toc-cssicon-toggle-item-6a2400b5b5875\" checked aria-label=\"Toggle\" \/><nav><ul class='ez-toc-list ez-toc-list-level-1 ' ><li class='ez-toc-page-1 ez-toc-heading-level-1'><a class=\"ez-toc-link ez-toc-heading-1\" href=\"https:\/\/buradabiliyorum.com\/en\/ecb-head-calls-for-separate-framework-to-regulate-crypto-lending\/#%E2%80%9D_ECB_head_calls_for_separate_framework_to_regulate_crypto_lending_%E2%80%9C\" >&#8221; ECB head calls for separate framework to regulate crypto lending   &#8220;<\/a><\/li><\/ul><\/nav><\/div>\n<h1><span class=\"ez-toc-section\" id=\"%E2%80%9D_ECB_head_calls_for_separate_framework_to_regulate_crypto_lending_%E2%80%9C\"><\/span>&#8221; ECB head calls for separate framework to regulate crypto lending   &#8220;<span class=\"ez-toc-section-end\"><\/span><\/h1>\n<p><img decoding=\"async\" src=\"https:\/\/images.cointelegraph.com\/images\/840_aHR0cHM6Ly9zMy5jb2ludGVsZWdyYXBoLmNvbS91cGxvYWRzLzIwMjItMDYvYmE2NzAyZjQtMzU4YS00NTgwLWI2Y2UtODU4ZTE4NjM0OTM0LmpwZw==.jpg\" \/><\/p>\n<div class=\"post-content\" data-v-2a0745c6>A week after the major American crypto lending platform Celsius had to freeze the withdrawal option for its users, European Central Bank (ECB) president Christine Lagarde voiced her conviction on the necessity of tighter scrutiny over this part of the crypto market.\u00a0<\/p>\n<p>During the testimony before the European Parliament on Monday, June 20, Christine Lagarde <a rel=\"nofollow noopener\" target=\"_blank\" href=\"https:\/\/fortune.com\/2022\/06\/21\/crypto-staking-bitcoin-regulate-supervisor-lagarde-europe-celsius\/\">expressed<\/a> her thoughts not only about the looming inflation in Europe and around the globe but also about the increasing activities of crypto-assets staking and lending. In Lagarde\u2019s opinion, this trend demands additional regulatory efforts from the European Union (EU). Referring to the major regulatory package, making its way through the legislative routine, Markets in Crypto-Assets (MiCa), she even coined the term \u201cMiCa II\u201d:<\/p>\n<blockquote><p>\u201cMiCA II should regulate the activities of crypto-asset staking and lending, which are definitely increasing.\u201d<\/p><\/blockquote>\n<p>Lagarde warned about the risks, posed by the lack of regulation in this segment of the market:<\/p>\n<blockquote><p>\u201cInnovations in these unexplored and uncharted territories put consumers at risk, where the lack of regulation is often covering fraud, completely illegitimate claims about valuation, and very often speculation as well as criminal dealings.\u201d<\/p><\/blockquote>\n<p>The official made a separate mention of decentralized finance (DeFi), which, from her point of view, also poses a \u201creal risk to financial stability\u201d and thus should be covered by the separate regulatory framework. <\/p>\n<p>A procedure, which caught the ECB head\u2019s attention, staking is available on Proof-of-Stake (PoS) protocol and allows multiple crypto token holders to pool in their tokens, thereby granting the staking pool operator a validator status and rewarding all stakeholders with tokens for their computational resources\u2019 contributions. <\/p>\n<p><strong><em>Related: The pros and cons of staking cryptocurrency<\/em><\/strong><\/p>\n<p>Lagarde is famous for her overt anti-crypto position and numerous claims that cryptocurrencies are \u201cworth nothing\u201d and \u201cbased on nothing.\u201d Meanwhile, the European Commission announced that it\u2019s preparing a digital euro proposal for 2023. The ECB is expected to have a prototype by the end of 2023, and if everything goes well, it may be issued in 2025.<\/p>\n<p><template data-name=\"subscription_form\" data-type=\"law_decoded\"><\/template><\/div>\n<blockquote><p><strong><span style=\"color: #ff6600;\">If you liked the article, do not forget to share it with your friends. Follow us on\u00a0<span style=\"color: #ff0000;\"><a style=\"color: #ff0000;\" href=\"https:\/\/news.google.com\/publications\/CAAqBwgKMLG0nwswvr63Aw\" target=\"_blank\" rel=\"nofollow noopener noreferrer\">Google News<\/a><\/span>\u00a0too, click on the star and choose us from your favorites.<\/span><\/strong><\/p><\/blockquote>\n<blockquote>\n<p style=\"text-align: center;\">For forums sites go to <span style=\"color: #ff9900;\"><a style=\"color: #ff9900;\" href=\"https:\/\/forum.buradabiliyorum.com\/\" target=\"_blank\" rel=\"noopener\">Forum.BuradaBiliyorum.Com<\/a><\/span><\/strong>\n<\/p><\/blockquote>\n<blockquote>\n<p style=\"text-align: center;\"><strong>If you want to read more <a href=\"https:\/\/buradabiliyorum.com\/en\/category\/news\/\" data-internallinksmanager029f6b8e52c=\"2\" title=\"News\" target=\"_blank\" rel=\"noopener\">News<\/a> articles, you can visit our <span style=\"color: #ff9900;\"><a style=\"color: #ff9900;\" href=\"https:\/\/en.buradabiliyorum.com\/general\/\" target=\"_blank\" rel=\"noopener\">General category.<\/a><\/span><\/strong><\/p>\n<\/blockquote>\n<p><span style=\"color: black;\"><a style=\"color: #ff9900;\" href=\"https:\/\/cointelegraph.com\/news\/ecb-head-calls-for-separate-framework-to-regulate-crypto-lending\" target=\"_blank\" rel=\"noopener\">Source<\/a><\/span><\/p>\n","protected":false},"excerpt":{"rendered":"<p>&#8221; ECB head calls for separate framework to regulate crypto lending &#8220; A week after the major American crypto lending platform Celsius had to freeze the withdrawal option for its users, European Central Bank (ECB) president Christine Lagarde voiced her conviction on the necessity of tighter scrutiny over this part of the crypto market.\u00a0 During&#8230;<\/p>\n","protected":false},"author":1,"featured_media":466530,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"fifu_image_url":"https:\/\/images.cointelegraph.com\/images\/1200_aHR0cHM6Ly9zMy5jb2ludGVsZWdyYXBoLmNvbS91cGxvYWRzLzIwMjItMDYvYmE2NzAyZjQtMzU4YS00NTgwLWI2Y2UtODU4ZTE4NjM0OTM0LmpwZw==.jpg","fifu_image_alt":"","footnotes":""},"categories":[1],"tags":[89319,74868,75603,77595,74876,28340,72705,70934],"class_list":["post-466529","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-general","tag-christine-lagarde","tag-defi","tag-ecb","tag-lending","tag-proof-of-stake","tag-europe","tag-european-union","tag-regulation"],"_links":{"self":[{"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/posts\/466529","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/comments?post=466529"}],"version-history":[{"count":0,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/posts\/466529\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/media\/466530"}],"wp:attachment":[{"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/media?parent=466529"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/categories?post=466529"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/tags?post=466529"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}