Larue, who formerly lectured on cryptocurrencies and collaborative currencies at UCLouvain university in Brussels, said central banks and states do not want to be overtaken by a technology that they have no control over.
The Swedish central bank is a frontrunner, with the European Central Bank following suit to develop a digital euro, Larue said, although the ECB does not plan to
deploy the digital euro before 2025 or replace banknotes and coins. Even "stablecoins", which are assets backed by the dollar or the euro, must be strictly regulated, according to the ECB.
Once considered a fringe asset aimed at computer geeks, digital tokens like Bitcoin and Ether have been gaining popularity among ordinary investors. The UK government estimated in January that some
2.3 million people in the country owned at least one, but research suggested users did not always understand what they were buying.
He said crypto-associated risks varied from those for users who are exposed to fraud, hacking and theft, to risks of speculation on out-of-control cryptomarkets, and of criminals using untraceable digital coins in extortion schemes. For example, Maastricht University recently saw its computer network blocked by hackers, who demanded a ransom, which the university paid in Bitcoin.
Cryptocurrency markets are not regulated like stock exchanges. In a classic market, the market authority can close trading in a stock that shows too much
speculative rise or fall, while on cryptomarkets platforms can be set up to launch an operation to reap a huge immediate and unjustified profit.
Tax evasion, on the contrary, does not seem like an important vector compared to simpler and more traditional ways of dodging taxes, such as front companies and tax havens, Larue said. Criminal activity in cryptocurrencies would represent much less than 1% of transactions, he estimated.