G20 considers creating registry of crypto exchanges
The move would be a part of the organization’s anti-money-laundering policies
The G20 is expected to introduce regulations for the cryptocurrency industry sometime in June and is already providing some details of what could be coming. The group will be meeting in Japan next weekend to hash out a lot of the details, but it looks like an international registry of crypto exchanges could be coming.
The move would help in an effort to bring the platforms more in line with the G20’s anti-money-laundering guidelines. It would also, according to reports, help provide a greater level of consumer protection. Ultimately, the registry would be used to prevent exchanges from being able to offer services to anonymous customers.
It’s fitting that the G20 will be meeting in Japan, one of the most advanced countries in terms of crypto regulations. The country suffered embarrassment due to several high-profile hacks, and quickly looked to implement national regulations, which it now hopes to take global.
According to a Japanese blockchain expert, Akio Kikuchi, “The government appears to have decided that it does not want a China-style shutdown of the industry, or a partial shutdown, like the one the South Korean government has imposed. But what it really wants to do is ensure all exchanges toe the line. And it really wants to end all forms of unregulated trading.”
He adds, “The government here knows full well that if people don’t like the way Japanese exchanges are policed, they can take their business to overseas platforms in territories where there are no regulations. Without an international effort, it’s hard to really stop anyone from doing anything.”
Whether or not Japan gets its way will have to be determined when the G20 meets. Bitcoin has, since its creation, meant to work within the confines of regulations and legal systems – not above them – and regulating the exchanges is a huge step forward in ensuring that goal is met.