The president of the European Central Bank (ECB) and famous critic of bitcoin (BTC), Christine Lagarde, shared a familiar story about failed investments in cryptocurrencies, according to a Reuters note.
Lagarde told students at a meeting in Frankfurt on November 24 that her son had lost “almost everything” in his investments in crypto assets, despite continued warnings, Reuters reported.
“He ignored me, which is his privilege,” Lagarde said, according to the note, adding that he lost “almost all the money he invested.”
The ECB chief did not disclose the amount his son lost, saying he admitted it was not “much” but “about 60%” of his cryptocurrency investments. “So when I later talked to him about it, he reluctantly agreed that I was right,” Lagarde is reported to have said, adding:
“I have, as you can see, a very low opinion of cryptocurrencies (…) People are free to invest their money wherever they want, people are free to speculate as much as they want, (but ) people should not be free to “engage in criminally authorized trade and business.”
Lagarde is known in the cryptocurrency community for her anti-crypto stance. In 2022, the head of the ECB argued that cryptocurrencies will have no value because the assets are “based on nothing.” By 2021, the ECB president also predicted that central banks around the world will not have bitcoin in their hands in the short term.
Although she has criticized cryptocurrencies like bitcoin, Lagarde has been a strong supporter of the concept of a digital currency issued by a central bank (CBDC). In April 2023, Lagarde admitted that a potential digital euro would be used in a “limited” way to control daily payments.