Bitcoin regulations is a serious business and the governments know that. These regulations are not about parallel economies or money laundering anymore. Bitcoin technology may be the answer for the solutions they were looking for so far to improve their financial sector. The importance of Bitcoin technology in today’s digital world has led the governments and central banks to opt for a wait and watch stance instead of rushing with regulations in a futile attempt to control the popular distributed digital currency.
There have been instances where few government bodies went ahead to introduce regulations in a hurry, only to see it backfire, creating a tough environment for the development of ground-breaking technological innovations that can contribute to the financial sector. Except for a handful of countries and states, no other government or central bank has implemented strict regulations that can hamper any further development and growth of the sector. The United Kingdom is one of those nations that has adopted the wait and watch approach.
The Bank of England- Central Bank of the United Kingdom has earlier today stated in a conference that they are willing to wait a bit longer to see if any startup will come up with innovative blockchain solutions that provide limited access to its users. Currently, the Bitcoin blockchain is a transparent open ledger where all the transactions happening over the blockchain can be observed by anyone. While this type of blockchain is suitable for bitcoin, it doesn’t work for the banking sector. Banks have their own set of rules and regulations that need to be followed. These regulations also include a certain degree of privacy and security to safeguard confidential customer information among other things.
While speaking at the conference organized by the Bank of England and London School of Economics — Chief Cashier for […]
