Bruno le Maire gave the scoop of his “first big interview” to BFM Crypto. Take out the violins.
MiCado
For Bruno Le Maire, we must not “not be afraid of innovation and decentralization”. “We want France to be the European hub of the crypto-asset ecosystem”he trumpeted.
The Minister of Finance warns, however, that neither should “to idolize a world without a state, without a central bank, without borders and ultimately without money. “. “This idolatry would endanger our sovereignty, but also and above all, the most fragile among us. »
Everything is going very well, Madame la Marquise. So don’t go asking questions about the trillions printed by the ECB. Nor on out-of-control inflation which, however, is a transfer of wealth from the poor to the rich.
No. Rejoice rather than be “under the French presidency of the Council of the European Union that we have found an ambitious political compromise on the MiCa regulation”. In addition, Mr. Le Maire said he was proud to have attracted two of the world’s largest exchanges to Paris: Binance and Crypto.com.
This will still create some jobs in crypto casinos and bring in some tax revenue. Speaking of taxes, the tax framework for capital gains should be clarified in 2023.
Soon a report on the environmental impact of bitcoin
Bruno the Mayor revealed that his ministry “writes a report on the environmental impact of cryptoassets”. It will be looking “how the sector can reduce its emissions, particularly in terms of mining”.
Unfortunately, the minister rejoiced at the same time “from Ethereum to proof-of-stake, much less energy consuming”thereby demonstrating that he does not master his subject.
This faux pas did not escape miner Sébastien Gouspillou:
Yes, bitcoin consumes energy. But it’s happy! Bitcoin is the only technology to make money by extinguishing methane flares.
We are talking here about the methane burned at the outlet of oil wells because it cannot be transported to civilization. According to Daniel Batten’s calculations, injecting this methane into an electricity generator instead of burning it in flares reduces their CO2 equivalent emissions by 63%.
The reason being that the combustion of methane in a generator is complete. Conversely, flares release 8% of methane, the greenhouse effect of which is 80 times greater than that of carbon dioxide (on a 20-year scale).
In other words, it would be enough for 20% of BTC miners to connect to flares for the Bitcoin network to enjoy a neutral carbon footprint. This figure drops to 3% when installed above landfills from which 100% of the methane escapes.
Pay taxes in bitcoins?
When asked whether France intends to imitate the state of Colorado, Bruno le Maire replies that “It’s not on the agenda” :
“Our currency is the euro and having only one currency to pay taxes is a condition of our unity. I do not see how we could ensure equality before the tax if everyone chose his currency to pay it. »
Hit. Where are we going if everyone could create their own bitcoin pastiche to pay their taxes?
“I say it without ambiguity, our currency must remain the euro and bitcoin is not intended to become a means of payment on a large scale in the European Union”he added.
That is. Bitcoin does not need permission to be a currency anyway. It doesn’t even have to be the only currency in circulation to fulfill its primary role as a store of value.
And then, by the way:
That said, and without wanting to play Bruno Le Maire’s game, his remarks are an opportunity to ask ourselves if a world with bitcoin as its only currency would be ideal?
Is the inability to borrow really compatible with a complex civilization requiring huge investments in research and energy infrastructure?
For instance, Total recently invested 16 billion euros to create a platform capable of pumping oil from a depth of 3,500 meters off the coast of Angola. The operation will make it possible to produce around 13% of current French demand for 20 years.
How to raise so much money in a world whose only currency is bitcoin? Who will agree to block their money for years to finance this project? Will Total have to solicit the French one by one to convince them to lend him their BTC?
Wouldn’t the best system ultimately be to have two currencies? One for the economy, the other for saving?
The Mayor and the CBDC Blockchain
We eagerly awaited the day when Mr. Le Maire would come and serve us the amalgam between CBDC and Bitcoin.
It’s done. The former Minister of Agriculture believes that “the affirmation of the euro as the sole reference currency should not prevent us from taking advantage of the potential offered by the blockchain”.
“That is why I am following with interest the work of the ECB to design a digital euro »he blurted out. ” I believe in the virtues of the blockchain in the service of the euro, not in abandoning it in favor of bitcoin. »
Words to send shivers down your spine when we know that Bercy recently sparked an uproar by asking for real-time access to bank statements…
Here is what we wrote about the CBDC recently:
“The CBDC advertises itself as a programmable currency. Its use would be conditioned. The Indian central bank even suggests that it could become perishable :
“CBDCs offer the ability to program money and condition its end use. For example, we could ensure that the money from an agricultural loan cannot be spent anywhere other than at input dealers. [semences, pesticides, engrais]. […] We could also push consumption by adding an expiration date to money. This programmability can be achieved by using smart contracts”. »
The IMF confirms:
Speaking of smart contract, note that the Norwegian central bank is ahead of the CBDC. And surprise, surprise, the northerners are basing themselves on the Ethereum code. All that remains is to swap cryptographic pseudonyms for biometric digital identities. Ironic…
What explains Bruno’s tenderness for ethereum and the end of cash?..
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