Société Générale’s group legal director has called out for the establishment of an international bitcoin regulatory framework. In an article co-written by Dominique Bourrinet, group legal director of the French multinational bank; and his colleague Etienne Mauret, the consequences of bitcoin’s undetermined legal status are discussed. A loosely translated version of the article reads: “In terms of French law, it [bitcoin] goes into no known category: it is neither a legal tender nor a means of payment – not even an electronic currency – within the meaning of the Monetary and Financial Code. This uncertainty has not prevented the French government from establishing an ad hoc tax system. The question of the application of VAT remains to be…
LedgerX has received temporary approval from the US Commodities Futures Trading Commission to act as a swap execution facility. The bitcoin options startup applied for licensure last year and has received backing from Lightspeed Venture Partners and Google Ventures. LedgerX CEO Paul Chou said that despite the temporary approval, the exchange isn’t set to launch until further licensure is acquired. He said of the temporary approval: “This is a first step, and is positive progress, but it is just one milestone toward our ultimate goal. Our mission is still to obtain a derivatives clearing organization license (DCO) to operate a federally regulated bitcoin derivatives exchange and clearing house. At this time, we do not intend to launch with only a SEF license.”…
Few groups have been as early and as active in attempting to understand the implications of digital currency and blockchain technology as US law enforcement. Despite expanded use and investment, cryptographic currencies such as bitcoin continue to be widely used for illicit activities. Dark market operators and extortionists were early and aggressive in their attempts to capitalize on the digital payment network and its cash-like approach to transactions, a trend that continues. As evidence, the Department of Justice, US Attorney’s Office for the Northern District of California (DOJ), appointed Kathryn Haun as its first Digital Currency Crimes Coordinator this June. The position finds Haun heading up a multi-agency task force in San Francisco and comprised of…
Bitcoin Group is to make its third attempt to IPO this November, following two stop orders from the Australian Securities and Investments Commission (ASIC). The Melbourne firm first announced it would pursue an initial public offering (IPO) on the Australian Securities Exchange (ASX) last October, however it has faced delays following a reprimand by the regulator in February and two stop orders on its investor prospectus in July. According to the Sydney Morning Herald, the firm lodged an updated prospectus last Friday after ASIC lifted its second stop order. Its listing date is now set for 11th November. Bitcoin Group CEO Sam Lee told the publication that as its IPO was precedent-setting, the revisions were required so that investors could be “fully…
Travis Patron is a digital money researcher and author of The Bitcoin Revolution: An Internet of Money. Here he explains why bitcoin may facilitate a taxation environment subversive to national governments and argues that cryptocurrency is already taxed by default. As the age of cryptocurrency comes into full force, it will facilitate a subversively viable taxation avoidance strategy for many of the technically savvy users of peer-to-peer cryptographic payment systems. In doing so, cryptocurrency will act to erode the tax revenue base of national jurisdictions and, ultimately, reposition taxation as a voluntary, pay-for-performance function. In this post, I’d like to cover some of the benefits such a strategy will have for cryptocurrency investors, why our…
Chris Grundy is a self-confessed bitcoin obsessive and avid tech fan. He works for bitcoin lending platform Bitbond and has written for a variety of online publications. In this article, he speaks to a number of European bitcoin companies about why the future of cryptocurrency and blockchain technology could lie in their home continent, not the US. Innovation is the primary distinction between leaders and followers. It represents disruption and a challenge to our way of life. Bitcoin is an important innovation, and it needs progressive legislation to unlock its full potential. Clear and progressive legislative guidance will give aspiring bitcoin entrepreneurs the confidence they need to find new use cases and bring bitcoin to the masses. Despite this,…