“The crypto industry must work with regulators to design new and more effective regulatory frameworks”

Grandstand. In the early days of blockchain technology, cryptocurrencies operated in a gray area of ​​the economy. Financial institutions later embarked on this sector, drawing the attention of regulators.

Since then, governments have taken steps to tackle cybercrime and protect cryptocurrency users, but the work is far from done. It is essential that investors, businesses, and industry institutions understand how governments regulate cryptocurrencies and how industry leaders can promote cryptocurrency regulation.

Regulators must analyze the cryptocurrency market based on pre-blockchain legal frameworks. They also have fundamental questions to ask themselves in order to integrate cryptocurrencies into existing asset classes: are cryptocurrencies a good? Legal tender? An investment project? If so, what type? And how is it taxed?

No legal tender

From the French legal point of view, cryptocurrency is not considered a currency, because it does not depend on any institution and does not benefit from any legal tender in a country. Therefore, assessing its value is difficult and cannot constitute a reserve value since the cryptocurrency cannot be saved.

There are dozens of equally valid definitions depending on the country. But the objectives of the different regulations remain similar: to ensure transparency with the public and the regulator, ensure market integrity by protecting systems against cybercrime and market abuse, and protect investors against significant risks.

Read also Article reserved for our subscribers “Technological innovation, bitcoin is also a political innovation”

The regulations imposed primarily on cryptocurrency companies are based on the standards and recommendations of the Financial Action Task Force (FATF). The main objective of this global body is to develop comprehensive controls in the field of “the fight against money laundering and terrorist financing” (AML-CFT standards), publish them in the form of official recommendations and ensure that member jurisdictions respect their Obligations regarding the implementation and application of these standards. More than two hundred countries and jurisdictions have also committed to implementing these standards.

Ban in China

The FATF has developed a “gray list” of jurisdictions that require increased vigilance. This list is important to regulators, researchers, and compliance professionals, as gray-listed countries are subject to increased due diligence from countries that meet FATF standards.

You have 49.45% of this article to read. The rest is for subscribers only.

Rank Math Seo Pro Weadown, Wordfence Premium Nulled, Yoast Nulled, PHP Script, Fs Poster Plugin Nulled, Astra Pro Nulled,Woodmart Theme Nulled, Wpml Nulled, Avada 7.4 Nulled, Woodmart Theme Nulled, PW WooCommerce Gift Cards Pro Nulled, Elementor Pro Weadown, Newspaper – News & WooCommerce WordPress Theme, Nulledfire, Slider Revolution Nulled, Elementor Pro Weadown, Jnews 8.1.0 Nulled, WeaPlay, Business Consulting Nulled, WP Reset Pro, Newspaper 11.2, Flatsome Nulled, Woocommerce Custom Product Ad, Premium Addons for Elementor, Jannah Nulled, Consulting 6.1.4 Nulled, Plugins, WordPress Theme, Dokan Pro Nulled

Back to top button