ECB’s Villeroy: Diluting financial regulation paves the way for next financial crisis

The European Central Bank (ECB) Governing Council member and Bank of France Head Villeroy was reported by Reuters, as saying:

Diluting financial regulation paves the way for next financial crisis.

Should resist two temptations: financial complacency and protectionist escalation.

Neither the US or UK should take the path of unilateral deregulation.

Regulatory competition would be nothing less than a lose-lose scenario.

Escalation of protectionist threats by the US would dampen growth everywhere.

10% increase in tariffs would diminish world trade by double-digit figures.

That would also decrease global GDP by more than 2%.

Recent uncertainty over trade is having negative effects on investment.

Crypto-assets carry obvious risks in terms of consumer and investor protection.

There is a need for internationally-harmonized answers on cryptocurrencies.