UK Reviewing Regulation for Bitcoin and Other Virtual Currencies

[engine]

Bitcoin and its value has been in the news a great deal recently, but, of course, it's not the only virtual currency.

The UK Treasury is considering adding virtual currency to the anti-money laundering regulations to help stop abuse.

A Treasury spokesman said that there were already "clear tax rules" for legitimate crypto-currency users.

"We also intend to update regulation to bring virtual currency exchange platforms into anti-money laundering and counter-terrorist financing regulation," he added. UK Reviewing Regulation for Bitcoin and Other Virtual Currencies [bbc.co.uk]

[graeme_p]

So they are extending the stupid and ineffective money laundering regulations to the places where crypto-currency is least likely to be use for money laundering - it only applies to custodial wallets and exchanges that hold currency for you.

[iamlost]

Regulators are in, have been in for two score and more years, a quandry that impacts not only cryptocurrencies:
* technology is shifting goalposts faster than regulation can keep up;
* regulators, and especially their political overbeings, are typically a generation or more removed from knowledge/usage of current tech;
* experts are expensive and usually on the opposing side whether hackers, adopters, or enterprise.
AND, most importantly
* it is foolish, even counterproductive, to adopt an unenforceable rule.
With cryptocurrency third parties are typically identifiable and can be held to some account.

What really really needs to be reined in and got under control fast is the current mass inanity that is ICO (Initial Coin Offering). The sheeple are being fleeced.

[engine]

Joe public are often hit first with these things and have to jump through hoops. It often appears the bad actors are one step ahead of slow moving legislation.

[keyplyr]

Interesting article about the bitcoin billionaire Winklevoss twins: [msn.com...]