Interest in crypto has exploded this year from investors and governments alike as trading continues to prove profitable, and fear of a correction in the traditional markets continues to mount.
Around the world, countries are beginning to grasp the total impact of cryptocurrency, and looking to monetize it for their own benefit as the overall demand grows.
So, what does this mean for you now and in the future? Read on for a broad overview at the current state of crypto regulation around the world.
Japan is, by far, one of the friendliest environments for crypto — but regulation is in full swing. Bitcoin is considered legal tender and its government is the first to create an overall system to govern cryptocurrency as a whole.
In South Korea, a bill to legalize ICO’s was introduced in March, and more recently, the head of the Financial Supervisory Service commented on “the positive aspects” of crypto; one assumes full-blown regulation will be forthcoming.
And in China, support to legalize cryptocurrency seems to be giving way to eventual regulatory measures. China was one of the countries who agreed to a global regulatory framework for cryptocurrency, set forth by the G-20 earlier this year.
In the EU
In an effort to reduce the use of cryptos in money laundering and terrorism, the EU voted in April to have crypto exchanges, platforms and wallet providers register with local authorities and apply due diligence procedures. By the end of next year, EU countries will have to enforce these rules under their respective national laws.
In the United States
The Securities and Exchange Commission (SEC) is current reviewing Ethereum to determine if it should be considered a security, a move which would impact innovators around the world. And Nasdaq has linked up with Gemini Trust, founded by Tyler and Cameron Winklevoss of early Facebook fame, prompting greater speculation that crypto is headed for the primetime.
What’s on the horizon?
We believe calls for regulation will only continue to grow in the months ahead.
This is an important moment in cryptocurrency. That’s why established the most important trade association in Brazil, ABCB, to guide our public officials on the critical role of cryptocurrencies.
It is important that world leaders send the correct message to all investors and entrepreneurs that they are not unfairly targeting the broad crypto industry. While a threat of scam ICOs still exist, we’re prepared to arm the community to help weed out the bad actors.
Cryptocurrency is undergoing a major moment, yes. Let’s not stop its progress before it reaches its full potential.