According to Luxembourg’s Finance Minister, Pierre Gramegna, the world’s economies do have room to incorporate cryptocurrencies market, which, in his opinion, can coexist with fiat money. Also, Luxembourg is more and more attractive for cryptocurrencies and FinTech companies.
In an interview published on the Luxembourg government’s website, the official added that he does not believe that cryptocurrencies will ever replace traditional currencies due to the volatility that characterizes them and since many people will prefer to continue using fiat money.
He, therefore, predicted the coexistence of both types of currencies, a fact that would depend, in his opinion, on the cryptocurrencies regulations that would be implemented in the coming years.
In this regard, the minister recalled that in order to control the emerging market, Luxembourg was one of the first European countries to apply the same regulatory regime to cryptocurrencies exchanges as to any other classic payment companies, following the guidelines of the European Banking Authority.
Regarding the tax issue, Gramegna supports the idea of waiting for the initiatives that will be presented for the creation of a general legal and legislative framework for cryptocurrencies, both to be debated during the G20 and the Organization for Cooperation and Development (OECD) and the European Union.
Luxembourg is more and more attractive for cryptocurrencies and FinTech companies
The Minister of Finance has also highlighted the attractiveness Luxembourg has for many companies in the cryptocurrencies market and FinTech companies, which have established themselves in the European small country, that is Luxembourg, due to its strategic position and friendly legal framework.
He explained that everything is due to a process of financial diversification initiated by the government in 2013, in which crypto coins are only one of the key elements for attracting investors.
Blockchain technology and FinTech companies have also been a government priority, which is why initiatives are being taken to promote them, including the launch of the Luxembourg House of Financial Technology, which has attracted many cryptocurrencies market and FinTech investors and entrepreneurs to the country.
In this way, Luxembourg joins the list of European countries that are becoming centers of innovation, due to their policy of opening up to the emerging ecosystem, that is cryptocurrencies market and FinTech companies, as has happened in Malta, where many cryptocurrency exchange houses and blockchain technology startups have also been legally accepted.
Jackson Bey was born and raised in Lethbridge Alberta but moved east when he was 22. Apart from running his own consulting firm. Jackson spends his time canoeing the many lakes of Ontario. As a financial journalist Jackson has published stories for CBC Business Online, as well as Buzz Feed and Motherboard. As a contributor to Billionaire 365, Jackson mostly covers markets and trade.