[Cryptocurrency] - Steemit Crypto Academy S5 - Homework Post for Task 7

Q. Can cryptocurrencies and exchanges be regulated? How do regulations affect the crypto world? Name some countries with regulations.

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1.)Can cryptocurrencies and exchanges be regulated?

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I think we all have a tendency to identify what is cryptocurrency and what is exchange. Currently our knowledge of cryptocurrency is a decentralized system that uses cryptography which makes transactions and knowledge impenetrable, shall we assume it can be regulated?

Exchanges may also be regulated in some countries, although cryptocurrencies are not controlled by any central authority.

Although the management of cryptocurrencies is not entirely possible, due to its vast and complex nature, gift laws may not suffice.

Exchanges can be centralized or decentralized. Examples of centralized exchanges include:
• Binance
• Poloniex
• Bittrex etc.

Examples of decentralized exchange are:
• Banker's Protocol
• Uniswap
• Just Swap etc.

Cryptocurrencies and exchanges can be regulated, in fact some countries have started to regulate them, although the matter of regulating them is the absence of a central governing force – too much to manage them properly. make it difficult

So positive !! Cryptocurrencies and exchanges can only be so regulated that it will therefore be difficult to try and effectively do so.

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2.)How do regulations affect the crypto world?

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Cryptocurrencies are currently returning under regulation as governments and institutions continue to develop new ways to control these currencies.

Countries have started adding virtual currencies to their taxation schemes in the recent past, so the earnings from these virtual currencies are requested to be declared as paper currency.

It is fair to say that there is no way to eliminate the underlying technologies in cryptocurrencies, although they will make users' experiences very sophisticated, discouraging its use by many.

China and Japan are examples of countries that have restricted the commercialization of bitcoin for dominance concerns.

He thought that, with the increase in bitcoin commercialization, the cost could drop drastically, causing huge losses to its voters.

However, with recognition in bitcoin, this concern has been enforced with exchanges as China has taken a very strict stance to shut down exchanges through its own regulations. However, it still hasn't had much of an impact on the value of the cryptocurrency.

Meanwhile in Japan in early 2017, some lawmakers control a gathering with the Monetary Services Agency. The agency's interest was towards regulating cryptocurrencies as they are monetary instruments of property and securities under Japanese laws.

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A paper titled 'Cryptocurrencies'; What They Are, Though They Work, and Why They Matter' was printed in mid-2016 by the previous US Federal Reserve System chairman, Mount Bernanke.

He explained during the letter that blockchain technology can still prevent evils such as terrorist funding from hiding. In the same year, Bank of European Nation accessories, for example, could act as a store of bitcoin imports.

In the Gregorian calendar month 2017, the Asian nation issued a set of rules regulating exchanges for ICOs and imposing capital gains tax on them.

Simply put, within the short term regulations could somehow suppress the professionalism values ​​of the cryptocurrency.

But over time; It is within the end of the day, if it is done properly it is expected that there will be additional stability in the crypto market sector due to regulations. This could be an extended thanks to making cryptocurrency investments safer.

Furthermore, regulations can create a market for cryptocurrencies that is less prone to manipulation, thereby increasing the value of cryptocurrencies.

Whether or not the cryptocurrency market is regulated remains a widespread speculative investment that should still be considered as an investment target before risking relevance.

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3.)Name some countries with regulations.

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Internationally, the body class measures blamed the Monetary Stability Board (FSB) and the Organization of International Securities Commissions (IOSCO).

They need a whole ton of rules and regulations related to cryptocurrencies and exchanges.

The European Union
As a result of the EU's Fifth Anti-Money Wash Directive (5AMLD) and 6AMLD, virtual currency exchange platform and defender billfold suppliers have been brought within the scope of EU anti-money wash requirements at intervals.

In addition, the European Commission forecasts markets in the Crypto-Assets Regulation (MiCA); This was around September 2020.

It is a framework to protect consumers, extending licensing requirements in the same way that the transparent crypto-industry set behaves.

United States of america
In the US, cryptocurrency is monitored by the Securities and Exchange Commission (SEC), the Goods Futures Mercantilism Commission (CFTC), the US Anti-Money Wash Agency, the US Treasury Department's Monetary Crimes Social Control Network (FinCEN), the Department of Finance, and the US Treasury Department. Finance, and the US Treasury Department. monetary services. (DFS) and other crypto groups rely on the character of the action.

United Arab Emirates
In the UAE, the City International Monetary Center (DIFC), the City Monetary Services Authority (DFSA), and the UAE Capital International Markets (ADGM) are the largest regulatory authorities wherever there is a regulator. Regulatory Monetary Services Regulatory Agency (FSRA). They require different types of laws.

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Conclusion:-

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Most people still don't understand how cryptocurrencies work and how blockchain technology works. So, what have you, you have a homeowner mainstay. Whatever the price, they are not reaching to sell. They have been wearing for many years. They fix them to the holders. Then, what happens as the price movement starts it attracts in speculators and I don't mean speculation with negative connotation. I mean a long bourgeoisie.