Get the latest news on cryptocurrency regulation and policy developments from around the world.
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The world of cryptocurrency is ever-changing, and that means that crypto policy is constantly in flux as well. Here are some of the latest crypto policy news stories that you need to know about.
1. The U.S. Securities and Exchange Commission (SEC) has announced that it will not pursue action against Ethereum Classic (ETC) for its recent hard fork. This decision comes as a relief to the ETC community, which had been worried that the SEC might deem the hard fork to be a security violation.
2. In other SEC news, the agency has issued a warning to investors about potential scams involving initial coin offerings (ICOs). The SEC is cautioning investors to be on the lookout for fake ICOs that promising unrealistic returns or guaranteed profits.
3. The U.S. Commodity Futures Trading Commission (CFTC) has filed charges against a cryptocurrency trading platform for allegedly engaging in fraud and misappropriation of customer funds. The CFTC alleges that the platform, BitMEX, allowed traders to enter into trades that were impossible to lose on, and then used those trades to siphon off customer funds for its own benefit.
4. A group of U.S. senators has introduced a bill that would crack down on money laundering and terrorist financing using cryptocurrency. The “Combating Money Laundering, Terrorist Financing, and Counterfeiting Act of 2017” would require businesses dealing in cryptocurrency to comply with anti-money laundering regulations and submit suspicious activity reports to authorities.
5. Japan’s financial regulator has issued new guidelines for cryptocurrency exchanges operating in the country. The guidelines include requirements forknow-your-customer (KYC) checks and increased scrutiny of large transactions.
The Basics of Crypto Policy
Understanding cryptocurrency regulation can be difficult. It often feels like the rules are constantly changing, and they vary from country to country. This can make it hard to keep up with the latest developments. However, it’s important to understand the basics of crypto policy, as it can have a big impact on the way you use and invest in cryptocurrency. In this article, we’ll give you a brief overview of the basics of crypto policy.
What is Crypto Policy?
Cryptocurrency regulation is a hot topic in the digital asset space. A number of countries have begun to roll out comprehensive crypto policies, while others have taken a more laissez-faire approach. So what exactly is crypto policy, and why is it so important?
Crypto policy refers to the legal and regulatory framework governing cryptocurrencies and digital assets. This can include everything from taxation to anti-money laundering (AML) measures. In some cases, crypto policy may also encompass broader issues such as data privacy and consumer protection.
The development of comprehensive crypto policies is seen as a key step in legitimizing the digital asset space and making it more attractive to mainstream investors. At the same time, too much regulation could stifle innovation and stifle the growth of the industry. It remains to be seen how different countries will strike this balance going forward.
How Does Crypto Policy Work?
Cryptocurrency policies are the set of rules, regulations and guidelines that govern the use of digital currencies like Bitcoin.
Crypto policy is still in its early stages, and there is no one-size-fits-all approach to regulating the use of cryptocurrencies. Each country has its own approach to how cryptocurrencies should be regulated, and there is a growing body of international organizations that are working on developing global guidelines for crypto policy.
As the use of cryptocurrencies continues to grow, so too will the need for clear and consistent crypto policy. Countries that have not yet developed a comprehensive approach to regulating cryptocurrencies will likely do so in the near future, as the industry matures and more businesses begin to accept digital currencies as payment.
What Are the Benefits of Crypto Policy?
Crypto policy is designed to protect investors and promote the stability of the crypto markets. By doing so, it can help to attract more mainstream investors and boost confidence in the industry. In turn, this can lead to more innovation and adoption of blockchain technology.
There are a number of benefits that crypto policy can bring, including:
-Protection for investors: Crypto policy can help to protect investors from scams and fraud, as well as from poor-quality or insecure crypto assets. It can also help to ensure that investors have adequate information about the risks involved in investing in crypto assets.
-Promotion of market stability: By providing clarity and certainty around the regulatory environment, crypto policy can help to promote stability in the crypto markets. This, in turn, can encourage more mainstream businesses and investors to get involved in the industry.
-Attracting more mainstream businesses and investment: The clarity and certainty provided by crypto policy can help to attract more traditional businesses and investors to the industry. This could help to drive innovation and adoption of blockchain technology.
-Support for innovation: By creating a favorable regulatory environment, crypto policy can help to support innovation in the blockchain space. This could lead to the development of new applications and use cases for blockchain technology.
The Latest Crypto Policy News
The cryptocurrency world is always changing and evolving. With new policies being enacted all the time, it can be hard to keep up with the latest news. Here are some of the latest crypto policy news items you need to be aware of.
The SEC’s New Framework for Cryptocurrencies
On April 3, the U.S. Securities and Exchange Commission (SEC) published a framework for “investment contracts” that may fall within the SEC’s regulatory jurisdiction. The SEC has long taken the position that some digital assets may be “securities” subject to federal securities laws. The new framework provides a non-exclusive list of factors to help market participants determine whether a particular digital asset is a security, including:
-Is there an expectation of profit derived from the efforts of others?
-Is the digital asset sold in exchange for other consideration, such as fiat currency or other digital assets?
-Do purchasers of the digital asset reasonably expect to earn a return on their investment?
-Do buyers invest in the digital asset with the expectation that its value will increase over time so they can sell it at a profit?
-Is there centralized management and control over the digital asset and/or its governance?
The CFTC’s New Approach to Cryptocurrencies
In recent months, the U.S. Commodity Futures Trading Commission (CFTC) has taken a more active role in policing the cryptocurrency markets. The CFTC is a federal regulatory agency that oversee futures and options markets. In 2018, the CFTC launched a Virtual Currency Task Force to study cryptocurrencies and their underlying blockchain technology.
The task force released a report in October 2018 that outlined the CFTC’s approach to regulating cryptocurrencies. The report stated that the CFTC would take a “do no harm” approach to regulation, with a focus on protecting customers and preventing fraud.
In 2019, the CFTC has continued to ramp up its enforcement actions against cryptocurrency companies. The most notable case was against BitMEX, one of the largest cryptocurrency exchanges. The CFTC accused BitMEX of violating anti-money laundering laws and operating an unregistered trading platform.
The CFTC’s new approach to cryptocurrencies is welcomed by many in the industry. Some believe that too much regulation could stifle innovation, but others believe that it’s necessary to protect investors from scams and fraud.
The IRS’s New Tax Treatment of Cryptocurrencies
The Internal Revenue Service (IRS) has issued new guidance on the tax treatment of cryptocurrencies. The guidance, which was released on October 9, 2019, provides clarification on the tax treatment of a cryptocurrency hard fork and clarifies that crypto to crypto exchanges are taxable.
The guidance defines a cryptocurrency hard fork as “a division of the ledger of a cryptocurrency into two separate ledgers.” For example, when Bitcoin Cash hard forked from the Bitcoin ledger in August 2017, there were two separate cryptocurrencies: Bitcoin and Bitcoin Cash. The IRS guidance does not address how a cryptocurrency hard fork will be treated for tax purposes if there is only one surviving ledger (e.g., when Ethereum Classic hard forked from the Ethereum ledger in 2016).
The guidance also states that “a taxpayer who exchanges virtual currency for another type of virtual currency,” such as exchanging Bitcoin for Ethereum, “has realized gain or loss on the exchange.” This gain or loss is calculated as the difference between the fair market value of the cryptocurrency received and the cost basis of the cryptocurrency exchanged.
How to Stay Up-to-Date on Crypto Policy News
If you want to stay informed about the latest crypto policy news, there are a few ways you can do that. You can follow crypto policy news outlets on social media, subscribe to their newsletters, or set up Google Alerts. This section will cover all of those methods and more.
Subscribe to Crypto Policy Newsletters
In order to stay up-to-date on all the latest crypto policy news, it’s important to subscribe to cryptocurrency policy newsletters. This will ensure that you receive timely information on any new developments in the world of cryptocurrency regulation.
There are a number of different crypto policy newsletters available, so you can choose the ones that best fit your needs. Here are a few of the most popular options:
-The Block’s Crypto Regulatory Roundup: This weekly newsletter provides an overview of all the latest regulatory developments in the cryptocurrency space.
-CoinDesk’s Regulation Tracker: This monthly newsletter tracks major regulatory developments relating to cryptocurrencies and blockchain technology around the world.
-Crypto Compliance News: This daily newsletter covers compliance and regulatory news for the cryptocurrency industry.
By subscribing to one or more of these newsletters, you can stay informed about all the latest happenings in the world of cryptocurrency regulation.
Follow Crypto Policy News Sites
To stay up-to-date on the latest crypto policy news, it’s important to follow a few key crypto policy news sites. This will help you stay informed of the latest developments in the space and be able to make more informed investment decisions.
A few good crypto policy news sites to follow include:
-The Block: https://www.theblockcrypto.com/
Join a Crypto Policy Forum
Cryptocurrency regulation is still in its early stages, which means that there are constantly new policies being proposed and enacted. Staying up-to-date on all the latest crypto policy news can be a daunting task, but it’s important for anyone who wants to stay informed and compliant. Here are a few tips on how to keep up with the ever-changing world of cryptocurrency regulation:
One of the best ways to stay up-to-date on crypto policy news is to join a cryptocurrency policy forum. These forums are usually run by industry experts and provide a platform for discussion and debate on all things related to cryptocurrency regulation. By joining one of these forums, you’ll be able to stay abreast of the latest developments in the industry and hear first-hand from those who are shaping crypto policy.
Another great way to stay informed on cryptocurrency regulation is to follow industry news outlets that cover this space. These outlets will often have dedicated reporters who are focused on tracking developments in crypto policy. By following their work, you’ll be able to stay up-to-date on all the latest news.
Finally, you can also sign up for newsletters from organizations like the Blockchain Association or Coin Center. These organizations usually have staff members who are experts in cryptocurrency policy and they regularly release updates on the latest developments in the space. By signing up for their newsletters, you’ll ensure that you always have the most current information oncrypto policy.