As the COVID-19 storm rages on the world economy keeps struggling to stay afloat. The IMF or International Monetary Fund has already declared a worldwide recession and almost 80 nations have asked for help. However, Bitcoin being the pioneer in the cryptocurrency field is widely traded manually as well as using automated trading bots which have considerably increased the bitcoin trade. Visit https://www.bitcoinrevolution.org/de/ to learn more about automated trading bots. At the same time, there are several countries that have recently made announcements of cryptocurrency regulations in the middle of this crisis. For instance, two nations, Japan and Malaysia have recently approved crypto exchanges.
- Singapore: Crypto businesses that were already operating before the Payment Services Act have been asked to inform the MAS and granted an exemption from licenses. By this act they can continue to offer specific payment services. Cryptocurrency companies that have to comply with this new act are Bitcoin Exchange, Binance Asia Services, Payward, BitStamp, Ripple Labs Singapore, Bit Cross, Coinbase, etc.
- Malaysia: Crypto trading in this country has soared even as the lockdown continues. The regulated cryptocurrency exchanges have been showing impressive growth in terms of trade volumes. There are new users as people are trying to find a store of value in such trying times. With Malaysian businesses shutting down and an estimated 2.4 billion ringgits being lost per day, crypto trades flourish. Luno has been the nation’s first approved crypto asset exchange and the numbers of its active users have hit an all-time high in the lockdown.
- South Korea: The South Korean National Assembly has passed laws providing a framework for legalizing and regulating crypto assets and crypto exchanges. South Korean regulators can now oversee the crypto industry and establish rules centering on anti-money laundering.
- Spain: Here, the taxation authorities have started sending notices to as many as 66,000 crypto asset holders. This is a huge jump from the 14,700 letters that had been sent by the agencies to crypto owners the previous year.
- Germany: Here, the Federal Financial Supervisory Authority or BaFin has passed guidelines about how businesses may apply for their authorization before offering cryptocurrency services. This regulation was enacted in January this year and the companies could submit their intents till March 31st. The deadline has been extended since then to November 2020.
- India: This nation has been working on crypto regulations even though there is a bill that has been drafted to ban all crypto coins except those issued by the state. So, India awaits a judgment by the Supreme Court before it will take a final call. In 2018, RBI had stopped banks from providing any services to businesses facilitating crypto trading. But this directive had been challenged by crypto exchanges in the Supreme Court. Even if the central government does accept most of the recommendations it still gives power to the government to exempt specific cryptocurrencies and certain activities like mining, selling, holding or use of crypto coins.
- China: The NIFA or National Internet Finance Association which is a self-regulatory body started by the PBOC or People’s Bank of China has come out with a notice about risks that cryptocurrencies entail. This association warned especially about fake volumes in the crypto exchanges. The PBOC has also finished the development of a central bank digital currency for circulating which it is now engaged in drafting legislations.