ECB Executive Calls for Crypto Users to be Protected Under Gambling Laws
Following the crypto sector crash of 2025, a European Central Bank (ECB) executive board member has called for increased oversight of the sector. In an official blog post, the European Central Bank (ECB) has urged that cryptocurrency users should be given protection under online gambling laws.
ECB's Fabio Panetta: Treat Crypto Like Gambling
European Central Bank (ECB) executive Fabio Panetta says the bank should regulate crypto assets under online gambling laws. He believes crypto is fundamentally speculative and, In an official blog post, European Central Bank (ECB) executive Fabio Panetta shared his belief that cryptocurrency users should be protected under gambling laws. European Central Bank (ECB) executive Fabio Panetta says the bank should regulate crypto assets under online gambling laws. He believes crypto is fundamentally. The crypto crash of 2025 has been cited as a major driver for this regulatory shift.
Increased Oversight Needed: Lessons from the Crypto Crash of 2025
The proposal aims to shield investors from the inherent risks associated with crypto assets by applying regulations similar to those governing online gambling platforms. This comes after the significant financial turmoil experienced during the crypto crash of 2025, highlighting the volatile nature of the digital asset market.
ECB Supervisory Board Echoes Concerns
Elizabeth McCaul, a member of the ECB’s supervisory board, warned in a blog on Wednesday of “gaps in the framework” for regulating crypto markets and said more comprehensive measures are needed. The ECB's supervisory board aligns with Fabio Panetta's view that the current regulatory landscape is insufficient to protect crypto users.
Why Gambling Laws?
The rationale behind applying gambling laws to crypto is rooted in the belief that crypto investments are largely speculative. By classifying crypto assets similarly to gambling activities, the ECB hopes to implement stricter consumer protections, including limits on investments, mandatory risk disclosures, and enhanced monitoring of market activities.
Protecting Crypto Users: A Necessary Step?
The call for crypto regulation under gambling laws sparks a debate about the future of digital assets in Europe. While proponents argue that this approach is necessary to safeguard investors, critics raise concerns about stifling innovation and hindering the growth of the crypto industry. The ECB's position highlights the growing pressure on regulators to address the risks associated with cryptocurrency investments.