该公文中重申的三个至关心珍视要领域是欧洲联盟第八回反洗钱指令的极端首要性。考虑到该指令将对英帝国本国全体加密集团和协会的运转载生重大影响。就算United Kingdom脱欧，United Kingdom仍将境遇相仿区域法规的震慑。
Author: 8 Decimal Capital Research, Ran Wei
steemit.com · November 12, 2017
Editors: 8 Decimal Capital Research，Kadeem Clarke, Brian Hough, Alec Pippas, Zoe Qian
By Teeka Tiwari
"Are you still buying tulip bulbs, Tiwari?"
UK’s FCA Releases Consultation Paper Regarding Crypto Guidelines
This article is based on the recently published research conducted by our Chinese research team which received 800,000+ views across many Chinese media networks. The original article can be viewedhere.
The FCA, which is the Financial Conduct Authority of the United Kingdom of Great Britain and Northern Ireland, has come out with a new consultation paper, in which it elaborates upon a fresh set of guidelines with respect to cryptocurrencies. The FCA has also explained how it seeks to go about regulating the use of cryptocurrencies under its jurisdiction.
I was on the phone with one of the best market timers I know.
The financial regulator has released the consultation paper in order to explain the rules that have been put in place to guide the usage of assets like unregulated and regulated tokens. Such assets would also include the tokens that are classified as securities. The primary concern of the paper was with the laying down a roadmap to explain how FCA plans to delineate its role within the crypto industry in the near future. It also outlined the obligations of crypto firms for the coming months.
A key area that was emphasized upon in the paper was the immense importance of the EU Fifth Anti Money Laundering Directive. Considering that this directive would substantially impact the operations of all crypto firms and organizations within the UK. Despite Brexit, the UK will still be expected to play by similar regional rules.
Part 1: Payments and 1COs
In another life, he was a floor trader on the Philadelphia options exchange. That's where he developed an uncanny knack for reading the direction of the stock market.
It is expected that the Anti Money Laundering (AML) rules will possibly double down on existing Know Your Customer (KYC) rules. This will involve a more stringent requirement for reporting of customer activity across cryptocurrency exchanges and other similar organisations. This would involve the introduction of a limit on the maximum sum that can change hands in the form of crypto transactions without attracting regulatory attention and monitoring.
在另意气风发种生活中，他是柏林(BerlinState of Qatar期权交易所的场内交易人员。他正是在此锻练出了她对股票市镇方向那当世无双的嗅觉。
The new FCA consultation paper comes in the heels of the FATF guidelines for crypto regulations and represents an increasing trend of bringing crypto under the ambit of regulatory surveillance.
8 Decimal Capital Overview:
The guy is smart as a whip. Most of the time, he's quite likeable. On the day of our call, he was being unbearably obnoxious.
Interestingly, the paper clarified that exchange assets like Bitcoin and Ethereum, which happen to be leading cryptocurrencies in the market, will not be regulated by the FCA. Only tokens and securities will face heightened control as Bitcoin and Ethereum are “usually decentralized and primarily used as a means of exchange.”
There will always be a new societal paradigm after the establishment of each technological wave of innovation.
When the technological wave arrives, the initial hype will result in a “bubble” which can price market assets at a higher valuation than they are currently worth. This occurs until technology becomes ingrained in society with a consistent market value.
A few months before the call, I told him to load up on Bitcoin and a small under-the-radar idea called Ethereum.
Blockchain is not only a technological innovation, but it is also a change in the way consumers and future businesses interact with one another in a more secured and integrated world.
He laughed and called both ideas "dumb and worthless." He then compared them to one of the most infamous bubbles in history: the Dutch Tulip mania of the 1630s.
I.The First Wave:
Payment and Transactions
At its peak in 1636, one tulip bulb could fetch $141,762. By 1637, the bubble had burst.
Throughout the life of blockchain, the industry has experienced several waves of popularity, including several bull and bear markets for cryptocurrencies.
在1636年的顶峰期，二头紫述香球茎价值 141,762 台币。到1637年，泡沫打碎了。
Hence the "tulip" jab.
The first wave started with payment & transactions when Bitcoin and other cryptocurrencies became popular payment tools. These new currencies disrupted the payments space, which previously only worked using traditional fiat currencies.
This guy's ideas have made me a lot of money over the years. I was trying to repay the favor.
On January 3, 2009, Satoshi Nakamoto left one sentence in the Bitcoin Genesis Block: “ The Times of London | 01/03/2009 | Chancellor on Brink of Second Bailout for Banks.” This is the headline of The Times on that same day when the British Chancellor of the Exchequer was forced to consider a second attempt to relieve the banking crisis. Bitcoin, born after the 2008 economic crisis, echoed people’s discontent with the traditional financial system, launching a new wave of “decentralized” thinking.
I told him it wasn't too late to get in. But he wouldn't listen. After hitting me with a few choice insults, I wished him well and ended the call.
Pictured above is “The Times” article which Satoshi Nakamoto wrote into the Bitcoin Blockchain Genesis.
II. The Second Wave: Equity and Financing
I can't blame him for being skeptical.
The second wave was equity and financing, when 1COs became the new means of financing blockchain projects.
During the 2017 bull market, token investments gave venture capital funds an exit opportunity providing a high liquidity and rate of return. In 2017, projects could receive funding through an 1CO with just a white paper and promotion from Twitter influencers. Their token would get listed quickly on an exchange with relative ease. Sophisticated investors and crypto enthusiasts alike from all around the world could invest in their tokens by simply signing up with a crypto exchange, transferring crypto to their accounts, and making the trade. The catch was that these tokens and the entire 1CO process are unregulated.The lack of regulation gave opportunities to scam projects to sell worthless tokens to mislead investors.
Cryptos are a brand-new asset class. They're completely different from stocks, bonds, and traditional currencies.
Amid the regulatory uncertainty, 1COs surged due to getting funding from many hyped investors.As a result, a hundred times return on an investment became “reasonable,” giving cause to the “bubble.” In the later half of 2017, 1COs were on the radar of the SEC after many investors lost money on fraudulent projects. The regulatory body deemed 1COs as a security offering, thus subject to securities laws. On September 4, 2017, China decided to shut down domestic exchanges and ban 1COs. However, the global market cap for all cryptocurrencies had already reached over $160 billion. Many people hoped that investing in these 1CO projects could make them money while also speeding the growth of FinTech.
At the beginning of the FinTech movement, Shengxi Huang, the founder of New Money, pointed out that “FinTech will not exist in the world if the traditional financial system is effective and balanced.Nowadays, the traditional financial world is full of bureaucracy and inefficiencies.However, for FinTech to be accepted by the public, it needs to bring efficiency and equality.”
But that was over 18 months ago.
Today, China is experiencing a downward economic cycle with soaring debt, shrinking balance sheets at the central bank, increasing currency control, and a destructive trade war. In fact, it is not only China: the global macroeconomic turmoil and the prices of cryptocurrencies are becoming inversely correlated. According to BlockVC’s strategy research, since Venezuela’s issuance of the Petro Coin, cryptocurrencies have come into consideration as an increasingly popular means for emerging market countries to ease their national currency and debt crises.
With the decline of global cross-border capital investments, the fiat currencies of Turkey, Brazil, Argentina, South Africa and other countries have sharply depreciated, causing economic turbulence. More importantly, due to the effects of globalization, all economies are intertwined. When economic markets experience decline, these effects are negatively felt elsewhere causing further financial volatility.
Since then, Bitcoin has risen 1,600% and ether (the coin for the Ethereum network) is up 2,563%.
自那未来，比特币上升了 1,600%，以太币 (以太坊互连网的设想币卡塔尔(قطر 上升了 2,563%。
As reported by Bloomberg, the current emerging market rout is the longest stretch since 2008. Bloomberg researched the number of days following a downward trend, how long it takes people before they stop selling their stocks and begin buying stock again. In 2018, stocks have seen carry on selling for 222 days, currencies for 155 days and local government bonds for 240 days.
Like my floor trader colleague, perhaps you feel that crypto assets aren't assets at all. Perhaps you've missed out on this incredible run and think it's too late to get in.
Contrary to the traditional financial markets, blockchain and cryptocurrencies are global by nature. Cryptocurrencies face global markets with tens of thousands of exchanges.However, different governments have their own attitudes toward cryptos, making consortium agreements between multiple countries difficult. Many projects have taken advantage of this by obtaining legal and compliance documents from policy-friendly countries, such as Singapore and Switzerland. For example, projects can be registered in Singapore, receive capital from venture funds that are registered in Switzerland and Cayman, then become listed on exchanges in Malta due to the 1CO-friendly policies of these countries.
In response to the aforementioned global policy phenomenon, Tim Draper, a prominent American venture capitalist, said that the most exciting feature of Bitcoin is that it is a global currency.Governments will become public service providers that need to compete openly, rather than being monopolies of specific regions.
I want to show you why cryptocurrencies are not like the Dutch Tulip Craze. In fact, we're still in the early days of the cryptocurrency boom.
In the future, governments will act as service providers for their customers: the citizens.As citizens, people can choose the products they buy and the businesses they choose to work with in certain cities. As such, governments will have to compete amongst each other with regulation and legislation. 1CO businesses will flow, as a result, to the markets with government service providers which are most amenable to their development. Because of the nature of this industry, countries, especially small countries, will have a FOMO (Fear of Missing Out) effect. They will not want to miss the opportunity to grow their economy, so these emerging markets will be more likely to set up more blockchain-friendly policies.