The first BTC China criminal see virtual currency regulation
To the regulation of virtual currency is not too severe, will stifle innovation to prevent real potential in swaddling clothes gown. Also to be alert to new forms of crime brought by this new thing.
In October 26, 2013, bitcoin trading platform GBL was hacked by suddenly to “run away”, executives all missing, swept away 30 million yuan of money, to the user caused a direct loss of more than 20 million yuan. In December 2nd, Zhejiang Province, Dongyang City Public Security Bureau official said micro-blog, GBL three main responsible person has been arrested, the first domestic bitcoin trading platform fraud case into the judicial process. This is the first China judicial institutions bitcoin criminal cases.
This case suggests that completely unregulated bitcoin risk and its flawed, unable to resolve the moderate intervention of government power is beneficial and necessary for its healthy development.
The United States is the bitcoin application the earliest and most applications in developed countries. In order to prevent regulatory policy may lead to technological innovation containment, regulatory authorities do not completely deny the monetary attribute of bitcoin, the supervision of bitcoin is mainly from the point of view of anti money laundering, and prevent it from becoming criminals laundering tools, which for other countries to develop the virtual currency policy played a role model.
In December 5, 2013, the people’s Bank of Chinese joint Ministry, the CBRC, CSRC and CIRC issued “about bitcoin risk prevention notice” (hereinafter referred to as the “notice”), the bitcoin “virtual goods”, rather than money; financial institutions and Payment institutions may not be associated with bitcoin bitcoin business; Internet sites and related institutions shall perform the obligation of anti money laundering.
The “notice” issued, see by domestic bitcoin prices fell in the short term, but in the long term, due to speculation, bubble risk bitcoin prices have high, the central bank introduced restrictive measures, prompted the price drop, to help out the following investors, reduce speculation, is conducive to the bitcoin application as the development of currency.
Bitcoin may also is not the final form of virtual currency, subversive meaning to the traditional currency attribute of the Internet has just begun. Although it has encountered a lot of “bottleneck”, but in reality to improve payment security and reduce cost, eliminate the international trade barrier and regulation and so on, bitcoin logical world currency development direction. Therefore, its supervision not too severe, will stifle innovation to prevent real potential in swaddling clothes gown. Also to be alert to new forms of crime brought by this new thing.
Under the supervision of the practice in the world of bitcoin can be seen, the current regulatory problems of virtual currency are mainly in the following aspects.
The lack of legal basis
Currently only to statements, documents and other forms of expression of virtual currency attitude or regulatory policy, no country has achieved a major breakthrough in legislation. In Chinese, in the basic strategy of rule of law, supervision must be there, there is no legal basis for the effect and influence of the regulation behaviors are very limited.
Supervision of practical difficulties
The current national regulation of virtual currency mainly concentrates in two aspects, one is an asset to tax, two is the anti money laundering law requirements related to anti money laundering obligations based on service personnel. In China, also do not have to carry out the work of these two conditions.
Single state regulation is difficult to work
In theory, a country cannot ban bitcoin in technology, because the country cannot stop people using computer to download bitcoin wallet or mining clients. In addition, even if bitcoin disappeared, can not stop the other because of the emergence of virtual currency, bitcoin has a strong substitutability, as long as a little bit of algorithm to change, can produce new virtual currency. In fact, although some countries banned bitcoin in their application, but the application and development of the world bitcoin has no effect, only to force their own virtual currency transactions underground. Therefore, the introduction of the impact of a single country policy for bitcoin is very limited to joint action in various countries.
The crack of the road
For virtual currency regulation should be carried out in stages. The use of Chinese, bitcoin based on this stage, starting from the anti money laundering supervision, the accumulation of experience, the conditions are ripe to expand the scope of supervision.
The correct positioning of the virtual currency, confirmed in the form of legislation
We should first make clear the nature of virtual currency. Virtual currency is a commodity, but also acts as the role of money in a certain range. That monetary attribute of virtual currency, and the related payment, settlement, custody and other behavior can be carried out in the sun, more conducive to supervision; and then up to the legislative level. The first introduction of departmental rules or regulations, when the time is ripe to rise to the legal level. Only under the protection of the law, to ensure that regulatory actions can effectively carry out and play the effectiveness.
The anti money laundering Countermeasures of virtual currency
First of all, clear virtual currency anti money laundering obligations, the establishment of the registration system. The anti money laundering obligations should include virtual currency trading platform or website, virtual currency and currency exchange services, e-commerce platform to accept virtual currency payment and other virtual currency services. Engaged in related virtual currency business institutions, should be to the relevant regulatory authorities for registration or filing.
Secondly, establish virtual currency transaction authentication, related transactions review and transaction reporting system. Requirements of virtual currency service providers to register and verify the identity of customers information, through the promotion of digital certificate or electronic signature, strengthen the authentication of users, improve the authenticity of online payment information. Establish transaction review system and reporting system, records of virtual currency transaction information, customers use IP address, to ensure that the transaction can be traced. The establishment of virtual currency payment transactions automatic reporting system, establish virtual currency requirements obligations of large and suspicious transactions identification index, analyze the related accounts, mining transaction information technology for the massive correlation analysis was carried out by using data warehouse, data, identification of suspicious behavior, submit to the anti money laundering supervision department.
Again, the establishment of private key escrow system. Can be considered to provide security in the country under the conditions of the law, the establishment of private key escrow system managed by the government led, in the anti money laundering supervision and investigation of the crime when needed, use the private key by government custodian, decryption of virtual currency transaction information.
Finally, in terms of making virtual currency in violation of the obligation of anti money laundering punishment to crime prevention effect through deterrence. The punishment should include: fine, ordered to suspend business for rectification, shut down, banned, serious executives should bear criminal responsibility.
Strengthen international cooperation on Supervision
Between countries should strengthen communication, discussion and Research on some basic problems of virtual currency, virtual currency, such as the properties of regulatory principles and coping strategies of crime; to strengthen international cooperation in the field of anti money laundering through multilateral and bilateral treaties, conventions, including: international anti money laundering information exchange and sharing. The evidence collection and litigation of criminal judicial cooperation; in effect is better than the domestic law level on the principle of the use of international law, the scope of restrictions on national security law, namely through the regulations about the limits of privacy right, the law enforcement agencies will be able to provide virtual currency service providers as money laundering clues, investigation and prosecution. The evidence.