If there’s one thing CoinGeek has emphasized over the years, it’s that regulatory compliance is inevitable for those looking to build apps and startups using blockchain technology and digital currencies.
While many in the industry are choosing to ignore laws and regulations or postpone considering them until they become an urgent issue, others are preparing for the inevitable.
As the European Union, China, the United States, and other economic powers publish frameworks for those seeking to crack down on crime and use blockchain technology, understanding the who, what, where, when, and why of blockchain governance is key. It’s more important than ever. .
Recent regulations related to blockchain technology
Below is a brief summary of some of the most important regulations related to blockchain technology. These latest laws further emphasize how important compliance is and how inevitable it is.
European Union – The European Union (EU) is leading the way. Over the past two years, the Markets in Cryptocurrency Assets (MiCA) Regulations have been passed, creating a harmonized regulatory framework across the EU. MiCA rules aim to promote innovation while protecting investors and maintaining financial stability. They impose transparency requirements on issuers, define who will regulate and supervise the industry, and take steps to ensure the stability and integrity of the market.
uk – In June 2023, the UK passed the Financial Services and Markets Act (FSMA). The bill defines digital currency and asset trading as regulated financial activities, allowing the Financial Conduct Authority (FCA) to more effectively oversee digital currency and stablecoin activity. In October 2023, the UK government announced more regulations for fiat-backed stablecoins, paving the way for more regulation around algorithmic stablecoins, lending, and trading.
USA – The situation in the United States can best be described as ‘moving towards regulation’. As usual in American politics, there is a lot of disagreement and drama surrounding blockchain and digital currencies, with various bills proposed or in various stages of progress. In 2023, the Financial Services Commission (FSC) published a draft Stablecoin Bill proposing a study on central bank digital currencies.
This is a moratorium on CBDCs and stablecoins backed by currencies other than USD. We have enforcement roles played by the Securities and Exchange Commission (SEC), the Financial Crimes Enforcement Network (FinCEN), and the Commodity Futures Trading Commission (CFTC).
china – The People’s Republic of China has strictly banned digital currencies since 2017. Since banning initial coin offerings (ICOs) and severely restricting digital currency trading, China’s stance has strengthened several times. In 2021, all forms of cryptocurrency trading, including issuance, trading, and provision of related financial services, were declared illegal. But there are signs of change. In 2023, the People’s Bank of China (PBoC) called for cooperation in regulating digital currencies and decentralized finance.
(DeFi) provides a section on these topics in its annual Financial Stability Report.
Find out more at London Blockchain Conference 2024.
At this year’s London Blockchain Conference, industry experts will explore the ever-evolving regulatory landscape and how to comply with it.
Sessions include:
- Navigating the blockchain regulatory environment
- “The future of money” – CBDC and stablecoins
- Decentralized and digital finance regulation
- Industry Collaboration – Establishing Best Practices and Standards
At last year’s conference, we heard from European Central Bank (ECB) Board member Yves Mersch, SmartLedger Solutions co-founder Bryan Daugherty, and others about the global regulatory landscape.
This year’s conference is no different. Guests and speakers on the cutting edge of the industry will keep you informed. Get your ticket
London Blockchain Conference 2024 is here!
Read: Why blockchain regulatory oversight is important
Are you new to blockchain? To learn more about blockchain technology, check out CoinGeek’s Blockchain for Beginners section, our ultimate resource guide.