FATF new cryptocurrency regulation was announced!

[Nishizawa]

Documents - Financial Action Task Force (FATF)



I wonder if our leaders really understand about crypto properly. They are requiring 20th century style regulation in 21st century technology!!!

It just annoys the normal people's normal trading.

 

[Martin Everson]

Thanks for that will have a read.

 

[KJK]

Of course they do not understand it. I think what will happen is that one (or more) of the decentralized exchanges will take off.
No central place, no single point of failure; just people exchanging with each other.

At the moment the problem is such exchanges (like Bisq) are too complicated and too slow for people to use.

Another possibility of what will happen is that there will be "black passenger" countries who couldn't care less about some FATF. And the exchanges will be regulated there.
Same thing is already happening in other areas - e.g. European countries try to impose crazy taxes and then you have places like Luxembourg or Ireland which help companies to avoid them. European countries try to regulate gambling and then you have Malta handing out licences. Some countries have 85% tax on cigarettes so people smuggle them from the neighbouring country where there's no tax.

You cannot control people using Bitcoin... theoretically you can monitor and track the activity. However even then you have decentralized systems and even truly anonymous currencies like Zcash, Monero and others.

 

[Martin Everson]

Trump will blacklist Bitcoin and every bank in the world will cease dealing with Bitcoin clients to uphold US policy and not experience their raft . Once there is no interaction between banks and bitcoin then bitcoin will either swim or sink.

It doesn't help that bitcoin was used in the below way.

Florida town pays $600,000 virus ransom

Computers for Riviera Beach have been locked up for more than three weeks following the attack.

www.bbc.com

P.S Before twats start saying "Oh but criminals use US dollars to commit crime and they don't ban it". Well I say that your standing in front of a globe of addicts and telling them to put their needles down.

 

[whereami]

A year later and no country has really succeeded in banning bitcoin with any effectiveness. Bitcoin stronger than ever, and fiat more questioned than ever as governments print it in a desperate panic.

The trend continues.

 

[Martin Everson]

12 months later...lol. Be patient and watch and learn how the world works .

 

[whereami]

12 months later...lol. Be patient and watch and learn how the world works .

You too my friend 12-year trend.

 

[Nishizawa]

At the FATF meeting in June, technical standards for how to implement travel rule to crypto will be announced. It seems to have been decided already.

Crypto Firms Establish Messaging Standard to Deal With FATF Travel Rule

The standard defines a uniform model for data that must be exchanged by crypto firms alongside transactions.

au.finance.yahoo.com

Anyway, thanks to FATF, I'm hearing some really horrible predictions lately.

The most unpleasant was, exchange may consider soon that all kinds of transcation related to non-custodial private wallet as a high risk activities. I hope the cryptocurrency is not be ruined like a traditional banking system.

 

[Martin Everson]

The most unpleasant was, exchange may consider soon that all kinds of transcation related to non-custodial private wallet as a high risk activities.

You mean they want to force crypto to be held on regulated exchanges where authorities can easily seize it, get reports on it and even tax it?

 

[KJK]

technical standards for how to implement travel rule to crypto will be announced

Reminds me of thoughtcrime.
Soon the presumption of innocence will revert to presumption of guilt.

The only positive viewpoint I see is that you can't regulate mathematics by FATF-rules...

 

[Nishizawa]

You mean they want to force crypto to be held on regulated exchanges where authorities can easily seize it, get reports on it and even tax it?

Yeap. It's a fairly extreme prediction, but I don't think it is unrealistic.

The Travel Rule Is Not Enough If Crypto Gets Adopted

U.S. regulators are warning crypto businesses to follow anti-money laundering regs, but some of these regs will not address new types of illicit flows if crypto scales.

www.forbes.com

Developers are devising ideas to encourage peer to peer trading without relying on a centralized exchange. DEX, atomic swap, privacy coin...etc. Perhaps the authorities know this, and at the same time are thinking about regulation.