Catenaa, Monday, March 17, 2025-A top European Central Bank (ECB) official warned that the United States’ (US) growing support for cryptocurrencies and non-bank financial institutions could sow the seeds of the next financial crisis.
ECB Governing Council member François Villeroy de Galhau, speaking to French newspaper La Tribune Dimanche, criticized the US for what he called a “negligent” approach to crypto regulation.
“Financial crises often start in the US and spread globally. By encouraging crypto-assets and non-bank finance, the US is setting the stage for future upheavals,” he said, as reported by Bloomberg .
His comments come as the US, under President Donald Trump, embraces a pro-crypto stance. The Securities and Exchange Commission (SEC) has eased enforcement, dropping lawsuits against multiple crypto firms. Trump also signed an executive order establishing a Strategic Bitcoin Reserve, further signaling a shift toward digital assets.
European officials, however, see risks in Washington’s policy shift. Pierre Gramegna, managing director of the European Stability Mechanism, warned that increasing US crypto dominance could undermine Europe’s monetary autonomy. He argued this makes the case for a digital euro stronger.
Villeroy stressed the need for Europe to fortify the role of the euro in global finance, warning that an unchecked crypto expansion in the US could lead to economic instability.
