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European Parliament acknowledges cryptocurrency as an option to trade

Gautham Kadri

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European Parliament acknowledges cryptocurrency as an option to trade
Source: Unsplash

The European Parliament Committee recently declared that cryptocurrencies can be used as another form or substitute to money. This statement was given in response to the long, detailed review of how cryptocurrencies function and their influence on a global scale.

The review started with the EU Parliament Committee describing cryptocurrencies as:

“A digital representation of value, not issued by a central bank, credit institution or e-money institution, which in some circumstances can be used as an alternative to money.”

The committee further adds that:

“Their value is determined by the law of supply and demand, relying on potential exchanges for other goods or sovereign currencies, and it is not backed by any monetary authority.”

A detailed investigation on the matter reveals that the committee has accepted that cryptocurrencies can be at times problematic but are also creative. The European Union no longer sees cryptocurrencies as a threat but a future form of a monetary system.

The EU parliament committee adds to this by saying:

“All these disruptive and innovative applications utilize new and emerging technologies, among which those stand out are AI, cloud computing, biometrics, digital identity, the blockchain, cybersecurity, RegTech, internet of things (IoT), augmented reality, etc.”

The report also read that the committee arrived at the conclusion that central banks can issue their own cryptocurrencies and that they will change the existing scenario of competition that exists in the market by proposing a direct public participation using the central bank’s digital currency.



Although the European Union has accepted cryptocurrencies as another means of monetary exchange, they still face a few challenges when it comes to regulating them. It has been observed by the committee that a majority of crypto-players operate from the foreign soil which is outside the jurisdiction of the European Parliament. This makes it difficult to prosecute unethical or illegal business activities.

The real weakness, however, is the focused mining that occurs in non-European countries as it was seen that only 13% of the total mining activity happens in Europe. Mining is considered to be the most sophisticated and technology-driven activity in the cryptocurrency market and presently one of the biggest sources for mining are located in Chinese provinces.





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Gautham Kadri is a full time content writer at AMB Crypto. His passion is for writing and interest towards the future of cryptocurrencies and blockchain technology. He does not hold any form of crypto currencies presently.

Bitcoin

John McAfee says he will reveal Nakamoto’s identity, Coinbase expands to 11 countries, and more

Priya

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John McAfee says he will reveal Nakamoto's identity, Coinbase expands to 11 countries, and more
Source: Unsplash

Daily Crypto News – April 18

1. John McAfee on Satoshi Nakamoto: The Founder of McAfee Associates stated that he would narrow down on the identity of Satoshi Nakamoto until he reveals Satoshi himself, otherwise he would reveal his identity to the crypto community. He also spoke about how he knows about Satoshi, to read about it, click here!

2. Coinbase expands its services to more countries: The leading exchange platform announced that it expanding its services to 11 more countries, which includes India, South Korea, and New Zealand. People in these countries can avail services provided on Coinbase.com, Coinbase Pro and its app on iOS and Android.

To know more about the countries Coinbase has expanded to, click here!

3. Craig Wright says the crypto-community want to silence him: Craig Wright, the self-proclaimed Satoshi Nakamoto, stated that the majority of the community was against him as they “desire to silence” him because they see someone who would bring an end to scams and pumps and dumps.

He also spoke about the next steps he would be taking in terms of the legal action concerning his defamation case. To read about it, click here!



4. Binance “marks the birth of a new genesis block”: The largest cryptocurrency exchange in terms of trade volume announced the launch of its Decentralized Exchange, and also stated that the mainnet swap would take place on 23 April 2019.

To read more about Binance DEX, click here!





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