Swedish central banker says Bitcoin will face stricter regulations as popularity grows

The head of the Swedish central bank said that Bitcoin will face tougher regulation given its immense popularity that continues to grow. “When something gets big enough, issues like consumer interests and money laundering come into play,” says Riksbank president Stefan Ingves. Stricter regulations are expected for Bitcoin, the governor of Sweden's central bank Riksbank, Bloomberg reported, said on Monday that Bitcoin and other cryptocurrencies are unlikely to escape regulatory scrutiny due to their massive popularity. Although regulators have expressed concerns about bitcoin and other cryptocurrencies, they continue to gain popularity. They have attracted the largest financial institutions to enter the space, including major investment banks Goldman Sachs and Morgan Stanley, which currently offer crypto investments to their clients. A growing number of companies now accept bitcoin for payments, offer crypto-related services, and put BTC on their balance sheets. Goldman Sachs recently said that bitcoin has become a new asset class with huge institutional demand for the cryptocurrency. Bitcoin's market cap recently crossed a trillion dollars. Governor Ingves said: “When something gets big enough, issues like consumer interests and money laundering come into play. So there is good reason to believe that [the arrangement] will happen. Asa Lindhagen, Swedish Minister of Financial Markets, revealed that the government has already tightened standards for crypto exchanges. However, he pointed out that this is "a work in progress at the international level" and that cross-border cooperation with other governments is necessary to address the risk of money laundering with cryptocurrencies. Riksbank Vice President Per Jansson on Tuesday expressed concern that the prices of bitcoin and other cryptocurrencies continue to fluctuate excessively and there is "nothing tangible or substantial" to prove their true value.

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