Legislative Сhanges in September 2019: Switzerland is Loyal, Others are Not
In September, European regulators drafted regular laws regarding cryptocurrencies. Bitnewstoday got acquainted with what the innovations are and which countries have adopted the amendments.
As noted in FINMA, stablecoins differ only in their basic assets: currency, real estate, securities; the selection of specific details of regulations will differ depending on this.
Despite the reputation of a cryptocurrency friendly country, there are many opponents in the Swiss jurisdiction. So, in September, the president of the National Bank of Switzerland said that stablecoins tied to fiat currencies threaten the country's monetary policy.
In neighboring Germany, the government has approved a blockchain regulation strategy. It was planned to be released in the summer, but the deadlines moved to September. The strategy provides for the prohibition of any private money in the country.
French Finance Minister Bruno Le MAIRE proposed creating a state cryptocurrency within the European Union. In his opinion, this will accelerate internal and external transactions and at the same time reduce their cost. Despite this, it is planned to ban French citizens to use private cryptocurrencies, including Libra. The Ministry of Finance also spoke about the planned taxation of cryptocurrencies: income tax will be charged at the time of converting tokens to fiat, transactions between cryptocurrencies will be exempt from taxes.
The basis for calculating VAT will be operations to purchase goods and services for cryptocurrencies and tokens. Among other things, France is trying to put pressure on Switzerland, in which the Libra Association is registered, to refuse licensing and further circulation of Facebook’s cryptocurrency.
On September 3, the Central Bank of the Netherlands posted a statement on its website, regarding the start of regulation of crypto companies since the beginning of 2020. The regulation will affect companies that convert cryptocurrencies to fiat, as well as cryptocurrency providers. All crypto firms have to register with the Central Bank. Representatives of the regulator have the right to check shareholders and members of the board of directors for compliance with requirements. The activities of all unregistered companies will become illegal in the state.
Turkey, like Ukraine, plans to transfer state registries to the blockchain. This is stated in the development strategy for 2023. The state plans to create an open platform on the blockchain, in which, in addition to registers, there will be diplomas of graduation, customs and other documents. It is also planned to test blockchain systems in the regulatory sandbox mode.
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