Introduction to Bitcoin: what is bitcoin and why does it matter?

“Bitcom” insists on the introduction of uniform rules for the regulation of cryptocurrency
CONTENT

  • Bitcom opposes 5th EU directive that violates the rationale for using cryptocurrency

  • Cryptocurrency regulation in Germany is exemplary

  • Tokens must be systematized and well regulated

International consortium of news organizations, developing transparency standards.

The digital association Bitcom held a number of consultations in the EU on the possible regulation of the circulation of cryptocurrency in the territories of the countries of the union. Representatives of the organization emphasized the importance of introducing unified rights to regulate the circulation of cryptocurrency in the EU, which can support the European economy during emergencies.

In particular, the Bitcoin blockchain expert Patrick Hansen stressed that the outbreak of the crisis caused by the coronavirus pandemic showed how important electronic payments are for society and business. Today, many banks simply cannot provide an alternative to existing payment systems that work intermittently during quarantine..

Bitcom insists on the introduction ...

The use of blockchain technologies opens up many opportunities for countries: from monitoring the state of contaminated areas and remotely organizing assistance to victims of the coronavirus to the smooth operation of the banking system and the financial sector in general.

Also, representatives of “Bitcom” opposed the fifth EU directive, which obliges cryptocurrency companies and exchanges to report data about their customers.

Bitcom insists on the introduction ...

This approach completely contradicts the very idea of ​​decentralized means of payment, which have gained popularity in society precisely because the data about the sender and recipient of cryptocoins is anonymous. However, Bitcom employees agree that cryptocurrencies need centralized regulation to prevent their use for financing terrorism, drug trafficking, human trafficking and other illegal activities..

In particular, Bitcom’s open petition states that due to differences in implementation in EU member states, the fifth directive ultimately leads to uncertainty among companies and consumers. States need a single European cryptocurrency market to compete with companies from the United States or Asia.

In order to form a single market and close the opportunity to circumvent the legislation, it is necessary to adopt a unified classification of tokens and prescribe regulatory requirements for each type of coin.

“We support pragmatic classification and regulation of token types such as payment, investment and utility tokens,” says Patrick Hansen. – But, of course, it is necessary to take into account very different risks and business models of token types – according to different requirements and obligations with a sense of proportion. “.

Bitcom believes that approaches to the regulation of cryptocurrencies in Germany can serve as an example of regulating the circulation of cryptocurrencies for the EU. For this purpose, the definition of “crypto-values” has been added to the Banking Law.

Bitcom insists on the introduction ...

The main feature is that companies that are going to work in the field of cryptocurrencies must obtain a special license from the Federal Financial Supervisory Authority (BaFin).

Bitcom insists on the introduction ...

In fact, the use of cryptocurrencies will be licensed, which is a big plus for institutional investors..

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