News Regulation

G20 doesn’t want to get involved in cryptocurrency regulation

A lot of people are concerned that the G20 will crack down on cryptocurrency and even ban Bitcoin and altcoins. But it seems those concerns are unnecessary, because the group has no immediate plans to intervene in this area. In fact, the group has rejected the call for regulation.

Whenever the issue of cryptocurrency regulation comes up, there will be a lot of different opinions. To some people, regulation is irrelevant, because cryptocurrencies can’t be regulated in the first place. With no central authority or company to provide access to this new form of money, there is very little regulators can do by default. Going after the service providers in this area is not the right course of action either, because such acts will irk consumers first and foremost.

The G20 has officially rejected the call to regulate this industry moving forward. That decision comes as quite a surprise, considering both France and Germany were going to put Bitcoin regulation on the G20’s agenda. It seems any concerns people may have had regarding Bitcoin regulation are pretty much moot right now. That is a good thing, although the issue may be revisited later.

During a meeting Sunday afternoon, the G20 issued an official statement indicating that the global watchdog will review existing rules rather than design new ones. This means we won’t see any new regulations for Bitcoin, altcoins, or other so-called «financial threats» anytime soon. It also confirms that the existing rules and guidelines do not apply to cryptocurrency, which will certainly be a thorn in the side of many regulators all over the world.

As this news broke, the cryptocurrency markets seemingly breathed a sigh of relief. The Bitcoin price rised up by about $1 000 in a matter of hours.

Though the global interest in cryptocurrency has never been higher than it is right now, the G20 isn’t too concerned about the impact of these markets. It seems the G20 followed the ECB in this regard, as the institution made it clear it doesn’t want to get involved in cryptocurrency regulation either.

Whether or not this means the volatility in the cryptocurrency market is over remains to be determined. For the time being, caution is still advised, even though the recent price dip has certainly created an excellent buying opportunity for both novice enthusiasts and investors alike.