2021 Global Regulatory Dynamics Inventory: China, the United States and El Salvador
Wu said the author|Colin Wu
Editor of this issue | Colin Wu
The most important thing in the global regulatory field in 2021 still comes from China and the United States.
China's more stringent measures have emerged one after another, ranging from cracking down on bitcoin mining to "one size fits all" activities involving virtual currencies, defining them as illegal financial activities. Emerging NFTs and metaverses are not immune, and are under strict surveillance. Even the name of NFT has been alienated as a "digital collection".Huo Xiaolu: Five Important Signals 924 Central Bank and Ten Departments Crack Down on Virtual Currency Notice What new ideas should be paid attention to when cracking down on encryption mining and issuing transaction documents at the same time?
In the United States, regulation and compliance are constantly running in. The most important regulatory actions are the successful listing of Coinbase and the approval of Bitcoin futures ETF, which symbolizes further compliance actions. However, it is still far away from the spot ETF.What are the obstacles to the more important spot ETF on the resumption of Bitcoin futures ETF Why is the Bitcoin spot ETF difficult to produce? The US SEC lists seven doubts
In the United States, the privacy disclosure and tax increases involved in the infrastructure bill have also caused more controversy. In addition, the US SEC issued a subpoena to the founder of Terra, which means the beginning of strict supervision of DeFi. Historical major cases such as Tether and BitMex have been settled. However, Coinbase’s lending business was shut down, and emerging lending companies such as Blockfi were investigated.The U.S. "Infrastructure Act" that shakes the encryption industry is officially signed, what impact will it have?
In general, China has adopted a one-size-fits-all approach to cryptocurrencies, and even the mining industry, which in the past was considered to be less harmful to financial security, has not been spared. Huobi, the largest exchange in China, announced that it will completely withdraw users from mainland China, and borrowing overseas company entities will not be able to fish in troubled waters. In the fourth quarter, Filecoin companies have been investigated one after another, and the crackdown on powerful departments has intensified. The focus of attention in 2022 is whether there will be a judicial interpretation from the perspective of the Supreme Court to apply the behavior in the field of cryptocurrency to the current charges for a more comprehensive crackdown.
In the United States, various fields are in the process of running-in with the regulatory authorities, and they often take a step back, and the boundaries of regulation are constantly being explored. Lots of interaction. Tolerance can be seen from the attitude of US regulatory authorities towards private US dollar stablecoin companies such as Tether Circle. However, with the rise of DeFi, the U.S. regulators are focusing on DeFi, and how to balance compliance regulation and protect the boundaries of innovation in 2022 is also a relatively important point of view.
A strange thing is that it is possible that China's one-size-fits-all approach has inspired American nationalism in the competition between China and the United States, and then used this as a reason to call on the US regulators to "let the web3.0 revolution happen in the United States."
At the exchange level, Binance has received the focus of supervision, and has even received warnings from more than ten countries’ regulatory authorities in a row. However, Binance's attitude of actively embracing regulation allowed it to survive the storm without any risk.What is the reason why Binance has been investigated/warned by six countries in a row? How Binance will respondHowever, at the end of the year, Binance seemed to lose its warm relationship with Singapore, and turned to Dubai.
At the level of other countries, more will refer to and learn from the regulatory measures of the United States, and incorporate cryptocurrencies into the traditional tax system, and even impose higher taxes. However, countries generally do not believe that cryptocurrencies will endanger their financial security under the current KYC-based regulatory framework.Wu said in depth: How to collect taxes on cryptocurrencies? Countries have made moves to become the focus
Finally, the small country of El Salvador in South America is the biggest highlight of government regulation in 2021. In the face of global opposition, the country not only announced that Bitcoin and the U.S. dollar will be listed as legal tender, but even set up Bitcoin City, volcanic and geothermal mining, issue Bitcoin bonds, and buy bottoms every time Bitcoin falls. El Salvador has become the Jerusalem of the cryptocurrency industry.Telegram Telegram Chinese Channel https://t.me/wublock
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According to the "Notice on Further Preventing and Dealing with the Risk of Hype in Virtual Currency Transactions" issued by the central bank and other departments, the content of this article is only for information sharing, and does not promote or endorse any operation and investment behavior. Readers are requested to strictly abide by the laws and regulations of the region and do not participate in Any illegal financial conduct. Wu said that without permission, it is forbidden to reprint or copy the content, and those who violate it will be investigated for legal responsibility.
According to the "Notice on Further Preventing and Dealing with the Risk of Hype in Virtual Currency Transactions" issued by the central bank and other departments, the content of this article is only for information sharing, and does not promote or endorse any operation and investment behavior. Readers are requested to strictly abide by the laws and regulations of the region and do not participate in Any illegal financial conduct. Wu said that without permission, it is forbidden to reprint or copy the content, and those who violate it will be investigated for legal responsibility.
