Blockchain technologies created the most valuable digital currency in the world; Bitcoin. Bitcoin uses a Blockchain to be decentralized and widely accessible: Blockchains work by recording all transactions into online ledgers that are saved onto many separate blocks across the internet. Coins that use Blockchain technology are inherently difficult to modify, and transactions are permanently recorded because of the redundancy and reliability of the Blockchain system. So, this widely-available means of exchange has gained appeal as an online alternative to traditional currencies and securities. Blockchain coins gain popularity as currencies where there is reason to doubt the existing traditional currencies that are in place. These coins gain popularity as securities in countries where securities are highly regulated because of challenges in applying those regulations to Blockchain technologies. Because of this appeal, Cryptocurrencies have become increasingly popular all around the world, and countries must now respond to the new sizeable Cryptocurrency markets within their economies. However, the process of exerting jurisdiction over Blockchain coins raises several hurtles that countries must address to avoid losing out to decentralization. This note seeks to evaluate regulations and proposed future measures that several countries have taken to control this new technology. The efficacity of these regulations will be measured against the goals of the relevant governing bodies, and their shortcomings will be identified. Ultimately, this note endeavors to provide an overview of effective Cryptocurrency regulation to provide a framework for countries to adapt themselves to the Blockchain.
Blame It on the Blockchain: Cryptocurrencies Boom Amidst Global Regulations,
26 U. MIA Int’l & Comp. L. Rev.
Available at: https://repository.law.miami.edu/umiclr/vol26/iss2/10