Another week, more threats of regulations and token de-listing
The Japanese are following the SEC in-step on regulating cryptocurrencies. The Financial Services Agency (FSA) is “encouraging” Japanese exchanges to de-list Monero (XMR), Zcash (ZEC), and Dash (DASH). This comes after a report from Reuters, demanding Eternal Link and FSHO to halt all business operations earlier in April.
We all know these as the “privacy” coins and certainly something I am a fan of. Unfortunately, we are going to continue to see this trend in markets globally. The concerns from sources close to the agency, reported by Forbes; state that they are concerned over money laundering and illegal uses of cryptocurrencies. This comes fresh off the heist of over 500 million NEM tokens in January from CoinCheck. They have resumed trading with the exception of Monero, Zcash, and Dash.
We have to be realistic and understand we live in a world with rules, regulations and guidelines that exist and are not going away. Advocating data ownership and privacy are a passion of the Bridge team, but we must work with regulators in order to make blockchain mainstream. We can all agree that exchanges play a very important role in this space. As they evolve into decentralization models, a compliance framework for money laundering and criminal activity will need to be readily available and useful for both exchange and customer. A solution is to be able to link user verification checks and data to a public address, just enough to ensure compliance.
Bridge is focused on building our solution to the looming regulatory environment. Why not create a solution that builds around the anonymity and structure of cryptography, but keeps intact and secures the control of data? American exchanges can flourish with these tools rather than moving their exchanges to locations like the Isle the Man, Gibraltar, etc with nothing more than a P.O. box. Crypto exchanges will be the first to look at using a blockchain solution for compliance. Bridge will be the first to market with some of the best and most easily integrated KYC solutions for their customers. Our system will allow the guidelines to be met for record keeping and abilities in the future to share data securely between exchanges will bring even more value to all users of the systems. The team will continue to build a solution with the demands of the community in mind, while navigating regulatory updates to be fully prepared for the mainstream use of this great technology.
