Regulatory authorities around the world feel that is incredibly difficult to control the explosive growth of the currency unrelated to any country.
Russian President Vladimir Putin has become one of the last in a series of politicians calling for the regulation of crypto-currencies. He stated that there are “real risks” to the fact that crypto-currencies can be used for money laundering or tax evasion. Finance Minister Anton Siluanov called for the entering of the same regulation for digital currencies as for securities, and the Bank of Russia promises to block together with the prosecutor’s office sites that allow retail investors to trade in bitcoins.
“We consider that this is a pyramid” – said Sergey Shvetsov, first deputy chairman of the Central Bank.
Officials around the world took up the issue of bitcoin regulation in September after China imposed a ban on ICO and ordered the closure of large crypto-exchanges, before spending six months to audit more than 1,000 sites.
At least 13 countries have introduced new rules for handling cryptocurrency or announced plans to tighten the existing rules. In particular, South Korea also banned the ICO. Last week, member of the Board of Governors of the European Central Bank Ewald Novotny said that the bank is discussing “specific legislative restrictions” on the sale of crypto currency.
The creators of bitcoin, the most popular digital currency, foresaw this development and prepared for it.
Since bitcoin works in a peer-to-peer network, users can buy and sell coins, and also protect and conserve the system without the involvement of governments and central banks. Try to control it is like “catch the water”, – said Alex Tapscott, CEO NextBlock Global, a venture capital firm that invests in blokcheyn start-ups .
Nine years after the mysterious programmer, who called himself Satoshi Nakamoto, opened the world to bitcoin, some see crypto-currencies as a revolutionary technology that will deprive the government of power and give it to citizens; a similar effect is given by pocket video cameras in the hands of civil activists or social networks during the “Arab Spring”.
“As crypto-currencies become more popular, their ability to resist politicians is also growing. Bitcoin is one of the most important liberation technologies in the history of mankind, along with the printing press or the Internet, “said bitcoin-investor Roger Ver, who received the nickname” Bitcoin-Jesus “for his efforts to promote crypto currency in the early years of its existence.
Digital currencies exist in computers and can be stored by millions of people around the world. They can be bought and sold online or in person. Even if there is no ATM or currency exchange nearby, anyone who has access to the Internet can buy bitcoins. They can be spending on literally everything from a sandwich to a dwelling or use them as an investment tool.
The thousand dollars invested in bitcoin in 2012, now would have turned into 4.9 million dollars. At the same time, the number of transactions involving bitcoin continues to grow. According to CoinDesk, it has grown from 60 thousand per day in 2013 and to 291 thousand units per day in the second quarter of 2017 and now twice exceeds the number of transactions with other major crypto-currencies.