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Christine Lagarde's son burned by crypto speculation

No fan of crypto investing, ECB president Christine Lagarde has revealed that her son ignored her warnings about the risks associated with trading in virtual currencies and consequently lost a significant chunk of his earnings in the market.

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Christine Lagarde's son burned by crypto speculation

Editorial

This content has been selected, created and edited by the Finextra editorial team based upon its relevance and interest to our community.

Lagarde has long railed against the volatile and sometimes criminal nature of crypto markets, warning novice investors that they risk losing all of their cash if they choose to speculate in virtual currencies.

But it seems that her son failed to listen and subsequently lost 60% of a speculative bet that went badly awry.

Lagarde shared the personal anecdote in a Town Hall meeting in Frankfurt: “He ignored me royally, which is his privilege. And he lost almost all the money that he had invested. It wasn’t a lot but he lost it all, he lost about 60% of it. So when I then had another talk with him about it, he reluctantly accepted that I was right."

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Comments: (3)

A Finextra member 

Crypto currency and its trading should meet the same regulations as bank deposits and financial advice given by banks are adhering to. And if not, then they should meet lottery regulations!

Ketharaman Swaminathan

Ketharaman Swaminathan Founder and CEO at GTM360 Marketing Solutions

Well that would ENTIRELY miss the point of crypto, which was invented with the express purpose to SUBVENT regulation.

AirBnB, Uber and a few other startups in regulated industries brazenly leveraged regulatory gaps and managed to grow too big to be regulated. Crypto did the first part but failed at the second one.

Shlomo Cohen

Shlomo Cohen Risk-Finance Subject Matter Expert at PRNS

When Dexia was loaded with 8bn€ of Greek debt in 2008, Ch Lagarde, then French Ministry of Finance, came to the bank and asked these assets to be kept on the balance sheet. Trust me she said. The bank finally lost 6.9bn€ which contributed to its collapse. And I totally lost any trust into her jugement. Maybe her son did the same...

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