The Economist: Regulation doomed cryptocurrenices in China
Over the weekend, The Economist offered its takeon Bitcoin’s (and other altcoins’) China problem. It argues that regulation has driven people in China out of that market in droves over the last four months or so, which isn’t a shock to anyone. “Most investors have left the market,” BTC China’s Bobby Lee told the magazine. In late November, Bitcoin’s value against the dollar broke well clear of the $1,000 mark. On some exchanges, it peaked above $1,300. More than 100,000 Bitcoins were traded daily on the BTC China exchange, and we were all excited about China leading the way. Today,....
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The chief economist at the International Monetary Fund (IMF) says that regulation is “absolutely important” for the crypto sector. She added that banning cryptocurrencies, like what India could be considering doing, would pose practical challenges given their decentralized nature. IMF’s Chief Economist on Cryptocurrency and Its Regulation International Monetary Fund (IMF) chief economist Gita Gopinath reportedly discussed cryptocurrency Wednesday at an event organized by the National Council of Applied Economic Research (NCAER). Gopinath is also the IMF’s....
An economist with the Bank of International Settlements has found that cryptocurrencies are not sought as an alternative to fiat currencies or regulated finance, therefore a “technology-neutral regulation to this asset class” is recommended. The economist discussed “embedded supervision,” adding that “The main aim is low-cost supervision of decentralized markets.” BIS Economist Suggests Regulatory Approach for Cryptocurrencies The Bank of International Settlements (BIS) published a working paper Thursday on “The socioeconomic drivers of US....
Responding to European Central Bank (ECB) President Christine Lagarde’s recent remarks about bitcoin, the chief economist at investment firm Tressis said what Lagarde implied was “outrageous” and “dangerous” for cryptocurrency regulation. Economist Says Governments Would Be Happy to Implement Strict Crypto Regulations Daniel Lacalle, fund manager and chief economist at Tressis Gestion, commented on Christine Lagarde’s recent remarks about bitcoin and crypto regulation in an interview with NTD Business on Sunday. Tressis Gestion provides investment....
For the time being, it remains unclear what this announcement means for bitcoin. China is planning to introduce some major changes in terms of market regulation. By the year 2020, China wants to address fake goods, food, and drug safety issues. Moreover, the government wants to impose more consumer protection measures, as there is a severe lack right now. An intriguing development, as this news goes to show some big changes are happening in the financial department. It remains unclear if this will have an impact on bitcoin in China, though. It is evident China wants to strengthen its....
Canadian economist David Descôteaux has prepared an economic note on the topic of bitcoin. Specifically, the discussion takes a look at bitcoin regulation, and the Canadian government's plans to put together legislation on this emerging digital currency and payment system. In his report, he lists three items that need to be tackled before bitcoin is considered a currency. Three conditions would need to be met for the expansion of the use of bitcoin as a currency, which remains very limited at the moment. First, users would need to receive concrete benefits rather than some other one, a....