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Deutsche Bank: ‘Required Control’ For Crypto ‘Could’ Be Introduced By 2023

Deutsche Bank’s Major Investment Office head Markus Mueller has suggested that “control” that will legitimize crypto investments could arrive in “5 to 10 years.”

Initially speaking in an interview with Bloomberg on Monday, Jan. 29, Mueller warned about current investment in cryptocurrency as only for those “who invest speculatively” while attractive for businesses in the sphere to cooperate with regulators.

“When security and the corresponding trust will be created, cryptocurrencies could be assessed and estimated like established asset classes” he predicted.

“It’s possible that the required governance will be in existence in 5 to 10 years.”

Deutsche Bank has taken a pessimistic view on cryptocurrencies as prices grow, warning in December that a considerable drop in Bitcoin was being “discounted as a small issue” by financial markets.

The absence of volatility in traditional stocks was driving stimulating interest in more risky assets such as Bitcoin, fellow Deutsche Bank analyst Masao Muraki determined in a note mid-January.

“Now, a rising number of institutional investors are watching cryptocurrencies as the frontier of risk-taking to estimate the sustainability of asset prices” he claimed.

Germany keeps falling behind in its treatment of cryptocurrencies at consumer level, providing a stark contrast to initiatives in other countries, such as neighboring Switzerland.

At the beginning of this month, the country’s central bank director nevertheless prevented comments from UK and US lawgivers at the World Economic Forum 2018 that regulation of cryptocurrency should be a joint international effort.