Regulate bitcoin instead of banning it, Dutch finance minister says 

Wopke Hoekstra, The Netherland’s Minister of Finance, said in a statement that banning is not the appropriate response on bitcoins. 

Instead, policies must be implemented to enable the government to regulate it and allow citizens to tap the massive potential behind the cryptocurrency.

This statement is a response to the Director of the Dutch Bureau for Economic Analysis, Pieter Hasekamp, who suggested that bitcoin must be banned in the country. 

But Hoekstra said he understands the director’s concern about the risks of cryptocurrencies, especially bitcoin. What must be done, according to him, is to create policies that would mitigate and prevent these risks from happening.

Supervision, not total ban

“My observation now is that supervision is more effective than a total ban in the Netherlands,” he said.

Hoekstra also added that as early as 2017, he has been warning everybody, especially crypto traders that along with massive opportunities in cryptocurrencies, there are also massive risks behind them. 

In November 2017, when bitcoin reached a $20,000 valuation, Hoekstra warned that with the crypto’s rise, nosedives are also imminent, based on the digital asset’s history. 

He reminded crypto investors back then that their bitcoin ventures are entirely at their own risk since there is still no regulatory body that handles crypto transactions at that time. 

Basic functions not met?

Previously, it was reported that Hasekamp suggested, or rather urged the Dutch government to ban cryptocurrencies because of the risks they entail. 

According to him, cryptos should be banned because they fail to meet the basic functions of money, which are a store of value, means of payment, and a unit of account.

 

Image courtesy of Cointelegraph News/YouTube

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