The EU should be more stringent supervision of digital currency, reducing its anonymity

The EU should be more stringent supervision of digital currency, reducing its anonymity

According to foreign media reports, in order to prevent the digital currency being used for money laundering and the financing of terrorism, the European Central Bank (ECB) has released the latest regulatory advice. The central bank also suggested that the European Council and parliament proposed there is room for improvement.


The European Central Bank: more regulation and less anonymity

The European Central Bank said in support of the European Union’s instructions, requirements of digital currency traders need to apply for a license, including wallet providers.

“They can provide a means to fund illegal activities,” said the European Central bank.

The central bank also claimed that some of these groups are currently available for use in digital currency to hide their money, which should benefit from anonymous digital currency to a certain extent.

In addition, the central bank will digital currency called “virtual currency”, the drafting of the proposed amendment instructions as follows:

“In order to deal with the risk associated with anonymity, the national financial intelligence unit (FIUS) should be able to address the virtual currency and virtual currency, the identity of the owner of the link.”

Do not advocate digital currency

Next, the European Central Bank urged EU lawmakers not to promote the use of personal digital currency.

“In order to prevent money laundering and terrorist financing, supervision of digital currency is appropriate measures”, the central bank explained. However, lawmakers should not be “in this particular case, seeking to promote the wider use of virtual currency.”

The European Central Bank also said that the digital currency never recognized by the authorities is money or equivalent to the legal tender status.

Very close to the definition and legal tender

In addition, the central bank also believes that the current proposed directive definition of digital currency is not clear enough. “The European Central Bank should be more clearly defined virtual currency, virtual currency is not clearly pointed out by the legal protection of the currency,” they wrote.

Do you think the EU lawmakers would adopt the amendment proposed by the ECB? Please give your opinion.

Leave a Reply

Your email address will not be published. Required fields are marked *