Cryptocurrency regulation is a hot topic. After all, many believe that regulation is the key to ensuring cryptocurrency adoption has a realistic chance of being achieved. As humans, we don’t really like it when things are left free form, to police themselves, therefore the general population will expect that cryptocurrency comes with some form of rules. These rules are the regulations that will help inject cryptocurrency into the mainstream and it is these rules that policy makers, like those at the European Union, are responsible for establishing.
September the 7th marks the date for the next meeting by EU members, established to facilitate the discussion of cryptocurrency regulation, focusing on the problems around Initial Coin Offerings and Token Sales. As a body representing a number of European countries, any regulations established by the EU will have a large impact, not just on EU member states, but neighbouring companies within the continent too.
According to NewsBTC:
“Finance Ministers in the European Union’s member states are taking a closer look at cryptocurrencies and the regulatory challenges they pose. They will be discussing whether or not regulations on the industry should be tightened and will be looking at issues including the lack of industry transparency, and the misuse of cryptocurrency for illicit purposes, like money laundering, tax evasion, and terrorism financing. European regulators notably view Initial Coin Offerings as a ‘efficient way to raise capital’ and are interested in looking at how cryptocurrencies can modernize current economic systems, meaning that the meeting will not be entirely negative.”
Is this a good thing?
I would say so. Unlike countries like China and India, the EU and its territories have remained very pro cryptocurrency, therefore we must assume that these regulations will be established to help foster and improve the industry. Talks within the EU surrounding cryptocurrency regulation will be designed to benefit the community. Many do believe that regulation is always a bad thing, but we have to see the bigger picture here, we have to see cryptocurrency as a part of an international future, for that to happen, regulation needs to be clear cut and established. Put it this way, as a fan of crypto, i’d rather the EU led the way for regulation over authorities within China, who have very recently made their stance in the anti-crypto camp very clear.