In this episode, we revisited the perennial topic of digital currency regulation with Siân Jones, our regulatory correspondent and founder of the regulation-focused virtual currency consultancy COINSULT. With the final version of the BitLicense, what may turn out to be the most influential document for digital currency regulation, is now out. Besides diving into many different aspects of the onerous BitLicense, we talked about California’s coming rules, how Bitcoin startups will be affected and the implications of Ripple’s fine.
NOTE: Since the episode was recorded the advocate general at the EU Court of Justice recommended that Bitcoin be exempt from VAT.
Topics we discussed in this episode
- A brief primer on BitLicense and the process by which it emerged
- What the key aspects of BitLicense are and how they changed through the revisions
- Why BitLicense will stifle innovation by dramatically increasing the cost and bureaucratic burden of running a digital currency startups
- How different companies are responding to the rules
- Why California’s virtual currency draft bill got a lot of things right
- What Ripple got fined for and why FinCEN could go after most cryptocurrency startups for the same reasons
- The status of the European Court of Justice case on VAT