EU Ministers to discuss European Digital Coin on November 8, 2019, to eventually adopt it December 5, 2019

Maheen Hernandez By Maheen Hernandez November 6, 2019 Off
European Digital Coin

Senator Mitt Romney opines it is challenging to work when the money being used is hidden and not traceable. He stated that he was not a Banking committee.

FBI Director Wray acknowledged that cryptocurrency was already a problem.  He stated that it was a threat to their Homeland Security.  The FBI director, however, did not provide any policy or regulatory recommendation.

Wray reinstated on how terrorists were using the cryptocurrencies due to its ability to process anonymous transactions. He stated that they were looking at cryptocurrencies from the investigative perspective and that they are thinking in terms of other types of technologies to pull their investigations forward.  This, he said, was important to prevent being walled away by technology.

While the US continues with its aversion to cryptocurrencies, Hong Kong is all set to regulate its cryptocurrencies.

Ashley Alder, the head of the SFC, in the FinTech Conference at Hong Kong stated, “The framework will enable virtual asset trading platforms to be regulated by the SFC, a major development which builds on a way forward I outlined at the same time last year.”

In the past year, the SFC provided licenses to fund managers of digital assets, permitting them to sell digital products to potential investors. However, the results of the regulatory approaches were not as desired in the past year. Only one of the fund managers went through the process and got approved.

To avoid regulations of the SFC, some of the market players were diverting their funds to offshore jurisdictions.  This is one of the reasons for the new version of the regulatory framework coming from Hong Kong.

The idea of the European Digital Coin is as well out.  The EU Ministers will be discussing the document this Friday. Probably, this coin will become the alternative to Facebook’s Libra for Europe. 

The EU Ministers will be discussing the document on November 08, 2019, the Friday.  The Proposal might be adopted on December 05, 2019.  The draft document has taken into consideration the G7 concerns.

The European Draft Bills talks about a complete ban on risky projects.  “The ECB and other EU central banks could usefully explore the opportunities as well as challenges of issuing central bank digital currencies, including by considering concrete steps to this effect.”

Nations are marching to take the maximum advantage of digital coins. No matter what the governments say, slowly and surely they are all set to adopt the cryptocurrencies. For now, they are not able to get control over the users and therefore they rebel. When they gain control they approve! Cryptocurrency will eventually be the future.

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