Business 1 March 2018

Erik Gibbs

US Justice Department eyes ‘comprehensive strategy’ for cryptocurrency

As cryptocurrencies continue to gain favor among users, more governments around the world will undoubtedly look to providing some type of input on how the market evolves. The steps are just the first towards possible regulation, which shouldn’t be a shock to anyone. As they say, there’s no taxation without regulation. U.S. President Donald Trump has now put the onus on the Department of Justice (DoJ) to create policies designed to monitor and, in the future, possibly regulate what could very well become the currency of tomorrow.

Deputy Attorney General Rod Rosenstein presented information on the program earlier this week at a meeting of the Financial Service Roundtable. He stated that the government is currently involved in the creation of a “comprehensive strategy” to deal with digital currency. He indicated that the DoJ will spearhead the program, which will initially be directed at training federal officials on the fundamentals of cryptocurrencies and how they work.

The U.S. isn’t the first to look at providing some guidance on cryptocurrencies. Japan, South Korea, Israel and Germany, as well as others, have already begun to explore their own roles in a global cryptocurrency world, but any plan will face many obstacles. Cryptocurrencies are highly unique instruments that don’t adhere to traditional financial system procedures. This disconnect requires a great deal of training and understanding prior to being able to implement any wide-reaching policy.

It’s important to point out that the implementation of strategies to provide oversight don’t equate to the creation of market regulation. The oversight is geared to protecting users and suppressing any malicious activity, such as money laundering and fraud, which could be detrimental to the digital coin’s development. They’re designed so that governments can better understand and manage cryptocurrencies in an effort to lay the groundwork for acceptable-use policies.

This could, however, also potentially pave the way for regulation in the future. With that said, there is still no clarity on whether or not the strategy will definitely lead to market regulations. Earlier this month, a White House official stated that Trump’s administration is not currently looking to adopt a comprehensive regulation plan regarding cryptocurrencies.

Note: Tokens on the Bitcoin Core (SegWit) chain are referenced as BTC coins; tokens on the Bitcoin Cash ABC chain are referenced as BCH, BCH-ABC or BAB coins.

Bitcoin Satoshi Vision (BSV) is today the only Bitcoin project that follows the original Satoshi Nakamoto whitepaper, and that follows the original Satoshi protocol and design. BSV is the only public blockchain that maintains the original vision for Bitcoin and will massively scale to become the world’s new money and enterprise blockchain.

COMMENT

latest news

Blockchain, Brexit, and Ireland: What will happen?

Business 1 hour ago

Blockchain, Brexit, and Ireland: What will happen?

The economic uncertainty has led many to believe that cryptocurrency might be able to play a role, since traditional currencies might not be able to stabilize through the crisis.

Read More
Cryptopia outlines eventual return as exchange resumes trading

Business 1 hour ago

Cryptopia outlines eventual return as exchange resumes trading

Co-founder Rob Dawson categorically denies that an exit scam took place, and points out that Cryptopia actually plans on reopening. For now, the crypto exchange has resumed trading on 40 various crypto trading pairs.

Read More
Galaxy Digital invests $5.25 million in Bison Trails

Business 2 hours ago

Galaxy Digital invests $5.25 million in Bison Trails

After investing his clients money at the worst possible time, Stefanos Papanastasiou is being sued for losing most of the money.

Read More