regulation


Maltese Parliament Passes Laws That Set Regulatory Framework For Blockchain, Cryptocurrency And DLT

Maltese Parliament has officially passed 3 bills into law, establishing the first regulatory framework for blockchain, cryptocurrency and DLT (Distributed Ledger Technology). This makes Malta the first country in the world to provide an official set of regulations for operators in the blockchain, cryptocurrency and DLT space.“I think that blockchain technology, DLT and cryptocurrency is where innovation is happening right now and we are very glad that Malta can offer the first jurisdiction in the world to regulate this sector. We are excited about what this will lead to in the future,” Joseph Muscat, Malta’s Prime Minister, told me.Just last week, the Maltese Parliament voted unanimously to approve 3 cryptocurrency and blockchain bills, which were designed to make Malta one of the most desirable locations to set up shop in the blockchain space. As these bills have now been passed into laws, Malta is sure to become an early pioneer in economic innovation. In turn, this will strengthen the country’s economy with the creation of a new economic niche.


Bitcoin Daily: U.S., Canada Probe Crypto Scams

In other news, state securities regulators in the U.S. and Canada have announced that they’re cracking down on crypto scams, Reuters reported. Regulators are looking into initial coin offerings (ICOs) and unregistered securities offerings in an operation dubbed “Operation Crypto-Sweep.” Through a task force, regulators have opened 70 investigations in the operation, as 35 investigations enforcement actions are pending or have already occurred. In some cases, regulators have issued cease and desist letters to alleged scams.


Regulation may mean Bitcoin and other cryptocurrencies will become more valuable

The South African Reserve Bank (SARS) recently announced its position on Bitcoin and other cryptocurrencies, confirming that they will be subject to tax in South Africa.

While this may feel like the taxman has just found another way to target your wealth, general regulation may not ultimately be bad thing, according to Christine Rodrigues, partner at Hogan Lovells.

Rodrigues notes that some jurisdictions that have taken active steps to regulate cryptocurrency.


Blockchain regulatory view from within China –

Huo Xuewen, director of Beijing Municipal Bureau of Financial Work has fired 9 acute questions toward Bitcoin, blockchain and ICO in a Fintech meetup recently. He tried to explore the fundamentals and values of this technology.

Mr. Huo said that now that investors care only for making profits in ICO and nobody cares about the values behind this innovative mechanism. And since most of the trades of cryptocurrency rely on centralized exchanges, the digital assets are still threatened by traditional risks.


Australia Introduces New Rules For Cryptocurrency Exchanges

“The Australian approach treats exchanges more or less as money services business, in-line with many other jurisdictions in the world. Cryptocurrency exchanges, like fiat currency exchanges, are deputized to help law enforcement identify money launderers. They have a risk-based approach for transaction reports under the standard $10k threshold, and automatic reports for transactions above $10k. So, standard practice for most currency exchanges. The aspect that is important to monitor going forward will be the performance of the agency the cryptocurrency exchanges report to, AUSTRAC. This agency will now have even more information and data to track, store, and secure. Agencies like them around the world — FinCEN in America for example — already have poor track records when it comes to prosecutions based on the data they gather. With the cryptographic sophistication and global, borderless infrastructure around cryptocurrency trading, we’ll have to wait and see if this is just more agencies gathering more data that serves no purpose other than to provide a talking point that they are ‘doing something’ to fight terrorism financing and money laundering.”



Crypto & Blockchain Working Group to Be Established by Irish Department of Finance By Cryptovest

The Government of Ireland’s Department of Finance released, on March 22, a discussion paper on virtual currencies and blockchain technology. The paper was partly a response to parliamentary questions, but also a first step toward inter-agency talks on formulating Ireland’s government policy on cryptocurrencies and blockchain technology.

While no recommendations were made regarding cryptocurrencies themselves, the discussion paper does give a sense of how the Department of Finance sees cryptocurrencies within the Irish context.


The Blockchain’s Biggest Problems

The blockchain technology has taken the world by storm. Initially, blockchain was synonymous with Bitcoin and cryptocurrencies in general but it’s now in most industries and it’s changing the way we have done things for ages. From cost efficiency and…