A report published by the European Central Bank on October 12, 2024, claimed that old Bitcoin (BTC) holders are profiting at the expense of new owners and that the scarce decentralized currency should be regulated to prevent its price from rising or banned altogether.
The authors noted that those who previously acquired BTC or bought at market lows and sold it to new investors at a profit are exploiting new buyers. This is how all financial markets work â investors aim to buy low and sell high.
On this basis, the authors concluded that Bitcoin should face strict price controls to prevent exploitation and the resulting social unrest.
The report also claims that Bitcoin is rarely used as a payment method and is the preferred method for criminals. However, according to a May 2024 report by the US Treasury Department, cash is still the most commonly used method for illicit transactions.
The report does not explain why Bitcoinâs price has increased dramatically since 2009, and does not mention that Satoshi Nakamoto designed the digital asset as a decentralized payment method and store of value.
What are your thoughts on this? We welcome your comments.
