According to Belgium Minister, A government that prohibits drugs should likewise ban crypto

Members of the European Parliament have been debating the effect of the collapse of Silicon Valley Bank, Signature Bank, and Silvergate Bank on their respective markets.

Due to the present financial crisis, Johan Van Overtveldt, a member of the European Parliament and former Belgian minister of finance, has advocated for a “strong ban” on cryptocurrencies.

As a “lesson” from the failures of Silicon Valley Bank, Signature Bank, and Silvergate Bank in the United States, Overtveldt proposed in a tweet on March 17 that politicians should consider banning cryptocurrencies, describing them as “speculative poison.” Members of the European Parliament have been considering the repercussions of the collapse of central banks on its markets.

“If a government prohibits drugs, it must likewise prohibit cryptocurrencies,” said Overtveldt. From 2014 to 2018, Overtveldt served as the finance minister of Belgium. In 2019, he was elected to the European Parliament and appointed to the Economic and Monetary Affairs Committee. The Markets in Crypto-Assets, or MiCA, a framework was authorized by the committee in October 2022 and is slated to be put into force beginning in 2024.

As the effects of the banking crisis developed, many U.S. senators have also asserted that financial institutions’ links to crypto businesses contributed to their failure, beginning with Silvergate’s March 8 voluntary liquidation. Silicon Valley Bank followed on March 10 during a bank run, and on March 12, New York authorities seized control of Signature. SVB Financial Company has subsequently declared bankruptcy under Chapter 11.

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