Several factors, some of which are temporary, have contributed to the deterioration of the macroeconomic situation; the foreign demand outlook, firms’ expectations and investment trends have also worsened. In the second half of 2018, industrial production in the euro area declined by 0.5 per cent.
The mechanisms used to create such cryptoassets’ value also ensure that this value will be highly volatile—rather similar to the fluctuating value of gold, which, like bitcoin, draws a significant part of its value from its scarcity, and like bitcoin, does not play a significant role in today’s payments or monetary system.