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Cryptocurrency Miner Revenues Near $5 Billion

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Cryptocurrency Miner

Cryptocurrency miner revenues in the first 6-months of this year surpassed all earnings of 2017. To date, revenues have exceeded last year by a whopping $1.4Bn. But the record hash rate hit at the end of August saw miners paying retail electricity prices move to unprofitability for the first time in September, Diar estimates show.

Bear market aside, Bitcoin’s price remains over 40% higher than a year ago. And the coinbase reward of 54,000 Bitcoins per month remain up for grabs by Bitcoin miners. The reward and fees for the first three quarters of this year represented $4.7Bn in revenues for miners who are keeping the network secure.

The investment proposition for smaller miners held true throughout most of this year, but has since become questionable on the back of an increase of computing power competing for the coinbase reward (see chart).

China, who has an average cost of $0.08 kw/h at retail, and estimated to be half that at wholesale, is currently one of the handful of countries that would make economic sense to mine for Bitcoins with retail prices. Even then, however, equipment, salaries, rents, overheads could push inexperienced mining operations into the red.

Bitmain, who released new information about their operations to support their upcoming Hong Kong listing revealed a business model that could bring new economic realities – and powers – to the fore.

The company, who runs two of the largest mining pools, as well as a key investor in ViaBTC, is actually banking on the sale of mining equipment – and has been for several years. In the first half of this year, 95% of revenues came from the sale of its miners.

Business then, for Bitmain is good when miners are earning. And according to it’s IPO disclosures, the mining equipment mammoth sells just over half (51.8%) of their miners to international clients. And Bitmain estimates that it has cornered 75% of global market for miners.

While Bitmain has spread its tentacles across the world with operations and warehouses, it also runs 11 mining facilities in China – home to 200k mining units. Should those units represent S9 miners, and be fully deployed to mining Bitcoin alone, this could represent a near 6% of the networks current hash power, that sits just below its all-time high.

With three more mining farms planned to go online in 1Q19 in the United States (Washington State, Texas, and Tennessee) could see Bitmain acting as a swing producer in an effort to keep the network profitable for all miners – including their own operations in the west where operating expenses are likely to run much higher than in their home base.

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Hong Kong to Tighten Cryptocurrency Rules

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Kristoffer Inton

Hong Kong is set to tighten regulations on cryptocurrencies, with plans to put exchanges, traders and other related companies under the oversight of the Securities and Futures Commission.

With less stringent rules on digital currencies than mainland China, where all crypto-related commercial activities are effectively banned, Hong Kong has become a thriving market for initial coin offerings. But growing concerns over fraud and money laundering have prompted the regulator into action.

According to the SFC’s guidelines, investment funds will be required to obtain a license if more than 10% of the assets they manage are made up of bitcoin or other cryptocurrencies, and will be allowed to sell related products only to professional investors.

Under the voluntary scheme, exchanges will be able to test virtual currency products or services temporarily in a “regulatory sandbox” before deciding on whether to seek a license.

The proposed regulations, which are to be implemented in stages, will also mean that companies can only issue ICOs for tokens that fulfilled SFC’s requirements. For instance, the tokens must have existed for at least 12 months.

In February, the SFC sent warning letters to seven local exchanges after receiving complaints from investors claiming they had been unable to withdraw fiat or cryptocurrencies from their accounts. Certain exchanges were accused of misappropriating assets or manipulating the market.

In March, the commission ordered Black Cell Technology to halt its ICO and charged the company with conducting unauthorized promotional activities.

Hong Kong’s actions reflect a growing trend. The Group of 20 leading economies is considering ways to regulate virtual currency assets as part of the global fight against money laundering.

As a financial center closely linked to mainland China, Hong Kong is taking steps in the right direction with measures like requiring identity verification for transactions, said Daisuke Yasaku of the Daiwa Institute of Research.

But the “cost of regulations will be high,” he warned.

Depending on the design of its platforms, an exchange can be required to report frequently to the authority and subject to rigorous inspections and monitoring, Yasaku pointed out.

“The requirements of the SFC initiative may prove too burdensome for some operators”, said Timothy Loh, who manages a law firm in the territory. Some will decide not to join the new framework in order to maintain their current shares in the market.

Some argue that higher trading costs also risk discouraging institutional investors from entering the market, dampening hopes that their presence will help stabilize it. The counter argument is that tighter regulations may lead to greater investor confidence over the long run.

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Crypto Illegal Mining Beating Ransomware as Top Cyber Threat

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Crypto Mining

Hijacking computers to illegally mine cryptocurrencies has overtaken ransomware as the biggest cyber threat in the Middle East, Turkey and Africa, according to Kaspersky Lab.

Research by the Russian cyber-security firm shows crypto mining attacks have risen almost fourfold in the region, from 3.5 million in 2017 to 13 million this year. Such incidents are likely to continue given the increased use of digital currencies, Kaspersky said.

Cyber criminals can use malware to gain access to other people’s computers and start running mining operations undetected in the background, keeping any digital coins produced. Earlier this year, criminals commandeered massive processing power to unlock new Monero coins, and in the process unleashed an epidemic of malicious software.

“The META region is becoming more appealing to cyber-criminals, with financial and malicious cryptomining attacks taking center stage,” said Fabio Assolini, Kaspersky’s senior security researcher. Such crimes are increasing because “mining is silent and causes less impact that ransomware, making it less noticeable.”

Kaspersky is itself not without controversy. In 2017, the U.S. Department of Homeland Security banned use of its software by federal agencies amid concerns about the company’s links to the Russian government. Kaspersky last month failed to convince an appeals court to lift its government-wide ban.

A spokeswoman for Kaspersky said that whether or not the company decides to pursue further legal relief, it remains committed to providing services to customers in the U.S. and around the world. Kaspersky has never engaged in wrongful cyber activities, nor will it do so in the future, she said.

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New DTCC Risk Survey Reveals Growing Concerns over Brexit’s Systemic Implications

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The slower than expected negotiating progress between the United Kingdom and the European Union and the ongoing uncertainty of the outcome has positioned Brexit as a top systemic risk concern for 2019, although cybersecurity and other geopolitical risks around the globe continue to dominate the risk landscape, according to a new survey published by The Depository Trust & Clearing Corporation (DTCC), the premier post-trade market infrastructure for the global financial services industry.

Close to half of respondents (49%) cited concerns around the significant risks attributed to Brexit as one of the top 5 risks for industry in the coming year, as the March 2019 Brexit date quickly approaches. The Brexit ranking represents an 11% increase over last year’s survey results, making it the most significant year-over-year change in the findings.

As with previous surveys, cyber risk remained the number one threat to the financial industry, with more than a third of respondents (37%) citing it as the most significant risk and 69% ranking it within the top five risks. In addition:

Geopolitical risk, including risks in areas such as the Middle East, China and in emerging markets, maintained its position as the second most frequently cited threat to the industry, with 55% of respondents including it in their top five risks for 2019.

Excessive global debt rose in importance and was cited by 28% of respondents within their top five risks. Respondents highlighted the impact of global growth on increased debt levels as well as how changes in central bank monetary policies and quantitative easing (QE) programs could affect large debt balances. Fintech risk, along with the potential impact of economic slowdowns across all regions, also increased in importance with respondents.

“The broad perspective of these survey results shows that while economic indicators continue to appear strong, pockets of weakness are starting to appear across numerous components of the financial system as geographic flash points continue to materialize and intensify,” stated Michael Leibrock, DTCC’s Chief Systemic Risk Officer. “It is critical that firms continue to remain vigilant to anticipate and prepare for not only these emerging risks, but the potential cascading effects that may arise from an increasingly interconnected financial system.”

DTCC has conducted Systemic Risk Barometer Surveys across the global financial services industry since 2013, with the last survey published in December 2017.

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Kepler Technologies Crypto Trading Terminal Kattana Simplifies Trading with an Access to Multiple Crypto Exchanges and Covering All Crypto Traders’ Flow in One App

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Cryptocurrency Exchanges

Kepler Technologies GmbH, a software product company launched by the founders of TaaS fund, announces the beta version of Kattana, the first desktop-based trading terminal allowing users to trade blockchain assets through one app on multiple exchanges and offers a complete range of tools for professional trading, from market analysis to measuring trading performance. Unlike existing solutions, Kattana has a fully customizable interface and offers tools that cover the whole workflow of a trader.

Currently, cryptocurrency markets are highly fragmented in terms of trading volumes and pairs availability. On the other hand, crypto traders rely on the broad range of tools for analyzing charts, executing trades and measuring their trading performance. This means inefficiency in terms of time and money spent by traders. Kattana aims to solve this problem by allowing traders to focus on actual trading and making profits instead of hassling around various exchanges and tools.

Trading

As of this writing, Kattana supports 3 major crypto exchanges: Binance, Bittrex and HitBTC.

Kattana offers some distinctive features that allow crypto-traders to:

Tailor workspace layouts to their individual trading workflow and goals for an efficient trading experience.

Evaluate their asset positions in realtime to gain better understanding of the results each of their trades yields.

Perform multiple time frame analysis easily inside market scanner to get the grasp of a broader market perspective.

Assess what results their trades bring as compared to a benchmark index (alpha) and make wiser trading decisions in the future.

Keep track of their market exposure by asset and trading venue in realtime to improve the execution of their risk management strategy.

To start trading through Kattana, a user must have an account on at least one of the abovementioned exchanges with the sufficient balance available there. In addition, a user needs to generate API keys with the permission for trading.

As regards to security, all API keys are encrypted and stored on your device only. The application does not have the access to even a part of your key and does not store it on a server. The user can permanently revoke exchange connection from Kattana at any time by just deleting their keys in the profile section.

As Bohdan Kit, a Product Lead of Kattana team has said: “Having access to one of the most successful trading teams on the market at TaaS Fund, we were able to combine the best trading practices and apply them in the process of product development. So, Kattana is made by traders for traders. Our ultimate mission is to help crypto-traders stay profitable in the long-run and improve their performance. Kattana is built to provide tools you need to achieve this”.

In the nearest future, the team plans on connecting all major cryptocurrency exchanges to Kattana and improve functionality of the existing product features.

To try Kattana’s beta go to Kattana website and download it

About Kattana:

Kattana is a professional trading terminal for blockchain assets, powered by Kepler Technologies, a software company specializing in building solutions for cryptocurrency traders and investors. Our mission is to bridge the gap between users and digital currency markets by providing state-of-the-art technologies for the financial system of tomorrow.

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3DCoin is now listed on the p2pb2b exchange

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Coin3d

With the exceptional achievement of reaching the worlds top 5 in terms of masternode count even before the market started, the highest crypto-growth rate in history. 3DCoin now joined the European exchange p2pb2b.io on 14 December 2018.

P2pb2b.io is a very professionally ran exchange, it was a great choice for its low fees, excellent support service, and an interesting referral program that leads to even further savings on fees.

Belonging to the Districts Project ecosystem, 3DCoin represents, according to its founder, Zain, “the greatest leap forward in the adoption of the blockchain technology”, this is due to its original proof of service consensus protocol that immunizes it against most of attacks without the energy or staking requirements of older ones, and its advanced scripting that allows the 3DCoin blockchain to be the support of entire decentralized applications accessed both on the Districts 3D world or any other platform, while making all transactions instantaneous and programmable.

3DCoin

Initiated by the Blockchain Technology LLC, located in Dubai, mid 2016, the Districts Project swiftly gathered around itself many enthusiastic investors then successfully entered the ICO phase leading to the creation of 62 million 3DCoin, for a maximum supply of 85 million, the main net was launched in April 2018, followed by many updates in the track of the development roadmap.

It is the official currency of the Districts 3D VR world, which is meant to be a free space for business, education, and entertainment; contents existing as a decentralized application hosted and ran by a set of specialized nodes (Pulse, Prime), all made by the users.

Statistics show that the 3DCoin network is backed-up by more than 3100 masternodes demonstrating the solidity of the project and the trust that the community puts on the development team. Masternodes are central to the consensus protocol and will permanently replace miners in block creation.

3DCoin, and the Districts Project in general, aims at democratizing online entrepreneurship opening the opportunity for the largest numbers to create and run their DApp businesses, by offering intuitive tools that simplify the creation DApp and smart contracts.

To learn more, please visit: https://3dcoin.io/

Telegram channel: https://t.me/Project_Districts

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Kenneth Rogoff: Cryptocurrencies are Like Lottery Tickets that Might Pay off in Future

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Bitcoin Price

With the price of bitcoin down 80% from its peak a year ago, and the larger cryptocurrency market in systemic collapse, has “peak crypto” come and gone? Perhaps, but don’t expect to see true believers lining up to have their cryptocurrency tattoos removed just yet.

At a recent conference I attended, the overwhelming sentiment was that market capitalisation of cryptocurrencies could explode over the next five years, rising to $5-10tn (£4-8tn). For those who watched the price of bitcoin go from $13 in December 2012 to roughly $4,000 today, this year’s drop from $20,000 was no reason to panic.

It is tempting to say, “Of course the price is collapsing.” Regulators are gradually waking up to the fact that they cannot countenance large expensive-to-trace transaction technologies that facilitate tax evasion and criminal activity. At the same time, central banks from Sweden to China are realising that they, too, can issue digital currencies. As I emphasised in my 2016 book on the past, present, and future of currency, when it comes to new forms of money, the private sector may innovate, but in due time the government regulates and appropriates.

But as I also pointed out back then, just because the long-term value of bitcoin is more likely to be $100 than $100,000 does not necessarily mean that it definitely should be worth zero. The right way to think about cryptocurrency coins is as lottery tickets that pay off in a dystopian future where they are used in rogue and failed states, or perhaps in countries where citizens have already lost all semblance of privacy. It is no coincidence that dysfunctional Venezuela is the first issuer of a state-backed cryptocurrency (the “petro”).

The ultimate obstacle for any cryptocurrency is that eventually there has to be a way to buy a range of goods and services beyond illicit drugs and hit men. And if governments ever make it illegal to use coins in retail stores and banks, their value must ultimately collapse.

Many crypto-evangelists insist that bitcoin is “digital gold,” in part because the long-term supply is algorithmically capped at 21 million. But this is nutty. For one thing, unlike gold – which has always had other purposes and today is employed widely in new technologies from iPhones to spacecraft – bitcoin has no alternative use. And even if bitcoiners manage to find a way to lower the phenomenal energy cost of verifying transactions, the very nature of decentralised ledger systems makes them vastly less efficient than systems with a trusted central party like a central bank. Take away near-anonymity and no one will want to use it; keep it and advanced-economy governments will not tolerate it.

The evangelists dismiss such concerns: bitcoin can still be incredibly valuable as long as enough people perceive it as digital gold. After all, they argue, money is a social convention. But economists (including me) who have worked on this kind of problem for five decades have found that price bubbles surrounding intrinsically worthless assets must eventually burst. The prices of assets that do have real underlying value cannot deviate arbitrarily far from historical benchmarks. And government-issued money is hardly a pure social convention; governments pay employees and suppliers, and demand tax payments in fiat currency.

But it is too soon to say how the new world of digital currencies will play out. Central banks will get into the game (their reserves are already a form of wholesale digital currency), but that is not the end of the story. US Treasury Direct, for example, already offers retail customers an extremely low-cost way to hold very short-term Treasury debt for amounts as little as $100, tradable to others in the system. Still, heavy security makes the system relatively cumbersome to use, and just maybe governments might adopt one of today’s private digital technologies.

For the moment, the real question is if and when global regulation will stamp out privately constructed systems that are expensive for governments to trace and monitor. Any single large advanced economy foolish enough to try to embrace cryptocurrencies, as Japan did last year, risks becoming a global destination for money-laundering. (Japan’s subsequent moves to distance itself from cryptocurrencies were perhaps one cause of this year’s gyrations.) In the end, advanced economies will surely coordinate on cryptocurrency regulation, as they have on other measures to prevent money laundering and tax evasion.

But that leaves out a lot of disgruntled players. After all, many today – including Cuba, Iran, Libya, North Korea, Somalia, Syria, and Russia – are labouring under US financial sanctions. Their governments will not necessarily care about global externalities if they encourage cryptocurrencies that might have value as long as they are used somewhere.

So, while we shouldn’t be surprised by this year’s cryptocurrency price bust, the price of these coins is not necessarily zero. Like lottery tickets, there is a high probability that they are worthless. There is also an extremely small outside chance that they will be worth a great deal someday, for reasons that currently are difficult to anticipate.

Kenneth Rogoff is professor of economics and public policy at Harvard University. He was the IMF’s chief economist from 2001-03.

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Indian Government Panel Recommends Complete Ban on Bitcoin

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BTC

Ending the speculation on virtual currencies such as cryptocurrencies and bitcoins, a government panel has suggested that the government should consider framing a new law for regulating that space, said sources familiar with the matter.

“The panel has categorically said that all such currencies should be treated as ‘illegal,” one of the sources told CNBC-TV18, requesting anonymity.

The panel has suggested that a new legal framework within the Reserve Bank of India (RBI) guidelines should be brought in to ban cryptocurrencies and the law should clearly specify that any kind of dealing in such currencies should be treated as illegal, said the sources.

In November, the government had appointed a panel to draft the norms for virtual currencies. The panel was headed by Subhash Chandra Garg, secretary, department of economic affairs (DEA) and has submitted its report to finance minister Arun Jaitley.

The panel has also said, “The law should enlist punitive measures that the government and its investigative agencies can take in case it finds anyone or any entity trading or dealing/ holding it.”

In November, the government had appointed a panel to draft the norms for virtual currencies. The panel was headed by Subhash Chandra Garg, secretary, department of economic affairs (DEA) and has submitted its report to finance minister Arun Jaitley.
On whether India would venture in having such a currency, the panel has suggested that “a new sovereign backed virtual or cryptocurrency may be proposed considering global circumstances; probably at a later stage.”

In February 2018, finance minister Arun Jaitley in his Budget speech had said that the government does not consider cryptocurrencies as legal tender, giving a clear message on the warnings issued by RBI and the finance ministry. He also said that the government will take measures to eliminate the use of such currencies in financing illegitimate activities or as part of the payment system.

The income tax department also suggested the panel that the government should ban cryptocurrencies. This was followed by a word of caution coming in from the Supreme court-appointed special investigation team (SIT) on black money saying that the centre should not legalise cryptocurrencies.

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Crypto Diehards Say Slump Is ‘Bump in the Road’ Before Growth

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Crypto

The future of cryptocurrencies will entail greater regulation, more involvement by large institutions, lower volatility and greater integration with traditional assets.

That’s according to panelists at the Bloomberg Crypto Summit held in London on Friday. The summit convened at the end of the bloodiest year yet for the nascent crypto market, in which more than $700 billion has been lost, to assess the damage and look ahead to 2019.

While no one forecast an immediate rebound in crypto prices — Bitcoin has lost about 80 percent of its value this year — they cast the current downturn as more like growing pains than rigor mortis. In fact two areas of growth for the industry will come from low-volatility tokens known as stable coins and so-called security tokens, digital contracts that represent ownership of assets such as real estate or stocks.

“I don’t regard this as an existential crisis, I just regard it as a bump in the road and institutional investors have had plenty of bumps in the road in conventional currencies and transaction systems,” James Bevan, chief investment officer at CCLA Investment Management, said on a panel.

One of the hottest crazes in the world of crypto this year, stable coins, still has plenty of room to run said Lewis Fellas, chief investment officer at crypto fund Bletchley Park Asset Management. While some estimates put the number of projects in development at as many as 120 we are only in the early innings of the proliferation, Fellas said.

“I think we’re just getting started,” Fellas said. “I can see a huge expansion.”

However the market develops, regulation will be a constant and growing feature of the digital assets world in 2019. That could be good news for entrepreneurs and business owners wanting governments to confer legitimacy on an industry rife with scams and manipulation.

Read More: Crypto Crash Is Causing Startups to Shutter Operations

It could also pose challenges if different jurisdictions adhere to lower standards than others, especially if that’s smaller countries that have been proactively promoting themselves as a destination for crypto businesses, said Ryan Radloff, chief executive officer of CoinShares.

Still, it’s a beneficial to get the wheels in motion for crypto regulations so the industry can learn from potential mistakes, said Marieke Flament, global chief marketing officer at Circle Internet Financial Ltd.

“It’s good to see some larger countries step through and show the route, but I would not discredit the work that others are doing, because if you have no one starting then everyone is waiting,” said Flament.

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Bitcoin Cash Is Now Available on Gemini

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Gemini to announce support for Bitcoin Cash trading and custody on Gemini. Beginning Saturday, December 8th at 9:30am ET you will be able to deposit Bitcoin Cash into your Gemini account. Trading will begin on Monday, December 10th at 1pm ET. Bitcoin Cash (BCH) is the fifth digital asset available on the Gemini platform, joining Bitcoin, Ether, Litecoin, and Zcash. As such, Gemini will be offering the following new trading pairs and services:

Bitcoin Cash, a fork of the Bitcoin network, was recently forked into two distinct networks and blockchains: Bitcoin ABC and Bitcoin SV. At this time, Gemini will only be providing support for the Bitcoin ABC network and Gemini will be referring to it as Bitcoin Cash with ticker: BCH. Gemini have added replay protection to all BCH withdrawals from the Gemini platform to ensure transactions are only valid on the Bitcoin ABC blockchain. Any cryptocurrency sent to Gemini over a blockchain that Gemini do not support, such as Bitcoin SV (BSV), will be invalid and irrecoverable. Geminie are continuing to evaluate Bitcoin SV over the coming weeks or months, and Gemini may or may not choose to support withdrawals and/or trading of Bitcoin SV in the future.

Bitcoin Cash seeks to build on the goal of the original Bitcoin and become an electronic cash system, similar to other payment methods such as debit and credit cards. Their roadmap includes changes such as adjustable blocksize caps, canonical transaction ordering, and new operating codes, which lay the groundwork for further transaction throughput enhancements.

Gemini have worked closely with the New York State Department of Financial Services (NYSDFS) to obtain approval to offer Bitcoin Cash trading and custody services for our customers, and we are excited to add this cryptocurrency to the Gemini platform — the world’s most regulated cryptocurrency exchange and custodian. Gemini are proud to provide our customers with a safe, secure, and compliant method to buy, sell, and store cryptocurrency as Gemini build the future of money.

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US Law: Crypto is Money, Property, a Commodity, and a Security, all at the Same Time

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Secure Token

Although various authorities in the US have repeatedly claimed that they do not wish to over-regulate cryptoassets or to stifle innovation in the space, overlapping regulations produced by a multitude of distinct agencies with different missions and priorities have produced a confusing mix of classifications and requirements. At the federal level alone, the Internal Revenue Service (IRS), the Department of Treasury through its Financial Crimes Enforcement Network (FinCEN), the Commodity Futures Trading Commission (CFTC), and the Securities and Exchange Commission (SEC), all impose requirements on the issuance, sale, and/or exchange of cryptoassets (also referred to as ‘crypto’).

The IRS regulates crypto as property, imposing record-keeping and reporting requirements on purchasers and denying owners the benefits of treating cryptocurrencies as ‘currencies’, even though FinCEN regulates businesses involved in the exchange of crypto as ‘money’ exchangers. Although the CFTC treats all crypto as commodities, and vigorously pursues enforcement actions when it sees fraud in connection with transactions involving crypto, the SEC simultaneously regulates the issuance of new cryptoassets as securities. In this way, a single cryptoasset is often regarded simultaneously as money, property, a commodity, and a security.

The problems posed by this approach relate to the extensive regulations imposed by each agency. FinCEN, for example, requires businesses involved in the exchange of crypto to register with it, and to comply with rigorous anti-money laundering and know your customer requirements. The obligation to make suspicious activity reports can also be overwhelming, and as Ripple can attest, the penalties even for non-criminal violations of these requirements can be substantial. At the same time, when cryptoassets that are regulated by FinCEN are issued or sold, the SEC is likely to impose extensive disclosure obligations in connection either with registration as a security or complying with an exemption from registration under federal law. Many of the available exemptions limit the persons to whom crypto may be issued or resold, restrict the amounts that can be raised, and/or impose extensive disclosure and sometimes on-going reporting requirements. The expenses associated with complying with these obligations can be prohibitive. Similarly, it is likely to be both expensive and time consuming for crypto exchanges to respond to Department of Justice subpoenas seeking information at the request of the IRS, acting to enforce the federal tax laws. Add to that the risk that the CFTC may choose to investigate and enforce what it considers to be suspicious or fraudulent behaviours, and it is easy to see why the US is not regarded as being receptive to crypto.

To further complicate matters, this is only the federal layer of regulatory oversight. Every state also has its own set of laws, and many of those may apply to crypto. For example, each state has its own securities laws, and only a small minority of states have determined that crypto should generally not be regulated under state securities laws. Similarly, states also have their own tax regimes, and again, many of those jurisdictions impose tax burdens on users of crypto. States also regulate money transmitters, often choosing to classify businesses facilitating the exchange of crypto as being subject to registration and reporting as money transmitters or as virtual currency businesses. Some states have even adopted specific and unique regulatory approaches geared towards crypto.

The current reality is that regulatory agencies in the US started with the idea that all cryptoassets are alike, relying on a very broad definition of ‘virtual currency’ originally promulgated by FinCEN and quickly adopted by the IRS. Thus, once it appears that any aspect of crypto is within a particular agency’s mission, the agency generally attempts to assert jurisdiction over all crypto. My paper suggests that a more nuanced regulatory approach would be more in line with stated goals of avoiding overregulation, while still allowing each agency room to fulfil its mission.

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