According to Osman Kabaloev, the Deputy Director of the Financial Policy Department at Russia’s Ministry of Finance, the recognition of Bitcoin mining as an official economic activity is set to happen soon. Following the approval of a law regulating cryptocurrency mining, this activity would be assigned an OKVED code, which classifies company activities for licensing […]
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Consensys to SEC: Recognize the Advanced Safeguards Inherent in Ethereum’s Design
Consensys has told the U.S. Securities and Exchange Commission that Ethereum’s proof of stake implementation “meets and even exceeds the security of Bitcoin’s Proof of Work (PoW).” The blockchain software company said the commission should recognize the advanced safeguards inherent in Ethereum’s design which exceed the “security and resilience safeguards underlying bitcoin-based exchange-traded products.” The […]
Bitcoin News
BRICS Expansion to Make West Recognize New World Order, De-Dollarization: UAE Professor
The accession of new members will allow BRICS to push the West to accept changes in international relations, an expert from UAE has been quoted as stating. That’s valid in particular for cross-border trade and de-dollarization, said Mohamed El Yattioui, professor at the American University in the Emirates.
BRICS Bloc to Benefit From Inducting New Members Like UAE and Saudi Arabia, Academic Says
“The role of BRICS has been increasing during the last years and in the last decade,” Mohamed Badine El Yattioui, doctor of political science and assistant professor of international affairs and strategy in the College of Security and Global Studies at the American University in UAE, told Russia’s Tass news agency.
The academic emphasized that “for the United Arab Emirates, it’s important to become part of the BRICS group,” which currently consists of Brazil, Russia, India, China, and South Africa. He believes that the expansion will allow the bloc to put pressure on the West to recognize changes in the system of international relations.
The admission of the UAE and other candidates will help BRICS to “push the Western countries towards accepting some modifications of the new world order, especially those regarding international trade, international political economy in general, currency and leaving the dollar,” El Yattioui elaborated.
The professor highlighted that Saudi Arabia and the UAE have strong economies and high gross domestic product (GDP) and are offering BRICS many opportunities, especially regarding energy. “It is in the interest of BRICS to have them inside the group,” he remarked.
Enlargement was one of the topics discussed by the foreign ministers of BRICS member states in Cape Town, South Africa, in June. The meeting was also attended by diplomats from 12 other nations that have expressed intentions to join the group of the largest developing economies.
This year’s BRICS summit is scheduled to take place on Aug. 22–24 in Johannesburg. The hosting country’s Minister of International Relations and Cooperation, Naledi Pandor, recently unveiled that the organization’s leaders will talk about its expansion. A total of 23 nations have so far submitted formal applications for membership, she said.
Earlier in August, the Press Secretary of Russian President Vladimir Putin, Dmitry Peskov, admitted that “certain nuances exist” among the five current BRICS members regarding the bloc’s expansion and these will be discussed at the summit. He was referring to a report by Bloomberg, according to which China’s push for a rapid enlargement is facing opposition from India and Brazil.
Do you think BRICS leaders will support the accession of new members at their upcoming meeting in Johannesburg? Share your expectations in the comments section below.
G20 Finance Chiefs Widely Recognize Crypto Poses Major Financial Stability Risks, Says Indian Central Bank Governor
The G20 finance ministers and central bank governors recognize that cryptocurrencies pose major risks to financial stability, monetary systems, and cyber security, India’s central bank governor reportedly said. Crypto regulation was among the key topics discussed during the G20 meeting over the weekend.
G20 Agrees Crypto Poses Major Risks to Financial Stability, Says RBI Governor
Reserve Bank of India (RBI) Governor Shaktikanta Das talked about cryptocurrency during a media briefing Saturday following the G20 meeting of finance ministers and central bank governors in Bengaluru. According to India’s state-owned media agency News On Air:
Das told the media that there is now wide recognition and acceptance of the fact that crypto currencies or assets are major risks to financial stability, monetary systems, and cyber security.
Das also noted that G20 delegates expressed interest in central bank digital currency (CBDC) pilot projects in India and other countries, the publication conveyed. India’s central bank began its digital rupee pilots in November and December last year.
During a media briefing at the conclusion of the G20 meeting of finance ministers and central bank governors, Indian Finance Minister Nirmala Sitharaman said there is almost a clear understanding that anything not backed by the central bank is not a currency. She emphasized that this is the position that India has taken for a very long time.
During the G20 meeting, India asked the International Monetary Fund (IMF) and the Financial Stability Board (FSB) to produce a joint paper on crypto to help formulate “comprehensive” crypto policies. IMF Managing Director Kristalina Georgieva has called for more crypto regulation, stressing that banning should not be taken off the table. Moreover, the IMF executive board recently published guidance for developing effective crypto policies.
The RBI has said repeatedly that cryptocurrencies that are not backed by the central bank should be banned entirely. However, the Indian finance minister previously said that banning or regulating will only be effective if it is done in collaboration with other countries. U.S. Treasury Secretary Janet Yellen said that the U.S. has not suggested outright banning of crypto activities, but stressed that it is “critical” to establish a strong regulatory framework for crypto.
Meanwhile, delegates from over 200 jurisdictions recently met and agreed on the timely implementation of the Financial Action Task Force (FATF) standards on crypto.
What do you think about the G20 finance ministers and central bank governors agreeing that crypto poses major risks to financial stability? Let us know in the comments section below.
India Won’t Recognize BTC As Currency, Nor Does It Collect BTC Transaction Data
India continues its flirtation with Bitcoin and other cryptocurrencies. The Indian Parliament’s winter sessions started, and, as it turns out, BTC won’t be the star of the show. In fact, the lower house of the parliament asked the Finance Minister point blanc if there was a proposal to recognize Bitcoin as currency. The answer was a resounding “no.”
According to AMB Crypto:
“While more clarity is set to emerge in this context, some reports have claimed that the Indian administration is planning to make cryptocurrencies available as an asset. Additionally, others suggest cryptos will not be accepted as legal tender.
All of this information came in the form of a note. In that document, the Financial Minister also answered “whether the Government has allowed cryptocurrency exchanges as a legally permitted entity in India”:
“Cryptocurrencies are unregulated in India. RBI has vide its circular dated May 31st, 2021, advised its regulated entities to continue to carry out customer due diligence processes in line with regulations governing standards for Know Your Customer (KYC), Anti-Money Laundering (AML).”
So, as you can read, it’s the same old script the other countries are using. If that’s the case, what’s the cause for all the confusion?
Mixed Signals Coming Out Of India
NewsBTC has been on this case. Just three weeks ago, while discussing the India exchange’s remarkable growth, we said optimistically:
“Discussions around regulations started to arise back then. India’s crypto exchanges and investors participated in off-the-record meetings with law enforcement agencies and banks hoping to reach a point of amicability.
The expectations are for the government to classify bitcoin as an asset class and for the Securities and Exchange Board of India to regulate cryptocurrencies and bring clarity, closing the doors to another ban.”
However, just a week ago, we reported that the Reserve Bank of India “is set to launch its CBDC by December.” And what was that news seasoned with? A ban, of course:
“A bill was recently presented, and sets to shake things up for many of big name coins in India. The ‘Cryptocurrency and Regulation of Official Digital Currency’ bill will create a facilitative framework for an official digital currency to be issued by the Reserve Bank of India, and that will look to ban all private cryptocurrencies, which includes Bitcoin and Ethereum.”
It was a fair conclusion, considering. In early 2018, the Reserve Bank of India banned the buying and selling of cryptocurrencies by entities under the RBI’s jurisdiction.
BTC price chart on BinanceUS | Source: BTC/USD on TradingView.com
What’s The Indian Parliament’s Current Position?
The headlines from the recent session with the Financial Minister are those two. There’s no proposal to recognize Bitcoin as currency and the government doesn’t collect Bitcoin transaction data. Fortunately for them, the blockchain is an immutable ledger. They don’t have to collect a thing, it’s all there.
#Parliamentwintersession | FM In ParliamentNo proposal to recognise Bitcoin as a currency
Here's more#cryptocurrency #Bitcoin pic.twitter.com/DYXGTobDQ3
— CNBC-TV18 (@CNBCTV18Live) November 29, 2021
In any case, AMBcrypto sees it as:
“A crucial piece of information, especially since some bodies associated with the ruling party had called for central regulation of crypto. For instance, Swadeshi Jagaran Manch’s (SJM) Co-convenor Ashwani Mahajan had suggested that crypto-data around mining and transactions be stored only on domestic servers.”
Reporting on the same session, Asian News International saw another angle. “This is a risky area & not in a complete regulatory framework. No decision was taken on banning its advertisements.”
This is a risky area & not in a complete regulatory framework. No decision was taken on banning its advertisements. Steps are taken to create awareness through RBI&SEBI. Govt will soon introduce a Bill: FM Nirmala Sitharaman on Cryptocurrency during Question Hour in Rajya Sabha pic.twitter.com/WwopPdBQHg
— ANI (@ANI) November 30, 2021
In another stage, former Finance Secretary Subhash Garg cleared things up. He created the bill that seemed to aim to ban all cryptocurrencies in India. Cointelegraph reports:
“In an interview with local news channel News 18, Garg clarified:
“[The description of the crypto bill] was perhaps a mistake. It is misleading to say that private cryptocurrencies will be banned and to intimate the government about the same.”
So, by “private cryptocurrencies” he didn’t mean Bitcoin or Ethereum, which have public blockchains. Got it.
Still, India’s confusion about cryptocurrencies is the main topic here. They don’t seem to know what to do about those pesky coins over there.
Featured Image: Darshak12Pandya on Pixabay | Charts by TradingView
NewsBTC
Panama To Recognize Bitcoin As Payment Alternative, Issues New Regulations
A new bill that aims at recognizing Bitcoin as another payment method has emerged in Panama. The bill will also give residents the freedom to use cryptocurrencies. Amidst El Salvador adopting BTC as legal tender, a Central American country is trailing the same path. The intent is to give residents of the country the freedom to start using cryptos like Ether (ETH) and BTC.
The Republic of Panama on September 6th passed a bill on cryptocurrency regulation. The bill aims to make Panama compatible with the internet, blockchain, and crypto-assets.
Gabriel Silva posted an announcement on Twitter, the bill can generate lots of job opportunities. He added that the legal initiative could create new sources of investments and make the Panama government more transparent.
Related Reading | New To Bitcoin? Learn To Trade Crypto With The NewsBTC Trading Course
Bitcoin is a decentralized digital currency without a single administrator or central bank. It’s represented with BTC and be sent from user to user on the peer-to-peer bitcoin network without intermediaries.
In comparison, Ethereum is also a decentralized, open-source blockchain with smart contract functionality. In addition, it has a native token Ether represented with ETH.
Silva’s Draft Bill Document
A draft bill document reveals the intention of the new legislation to recognize cryptocurrencies like BTC as a payment option. Silva distributed the document, and the cryptos will serve as a global alternative payment method. This will be for all commercial or civil operations not barned by the Republic of Panama legal system.
According to Silva, they prepared the new draft bill in collaboration with the citizens of Panama and a multidisciplinary team.
They also collaborated with experts in technology and industry. In addition, the authors of the legislation considered important guidelines as provided by the international organizations like the task force and financial action.
They emphasized that cryptos allow low-cost and fast payment enabling them to complete all financial transactions. This is irrespective of the gap between transaction volume and the parties.
El Salvador’s Bitcoin Adoption And Panama’s Crypto Bill
The El Salvador government requires local businesses to receive Bitcoin alongside the USD in exchange for goods and services. But Panama’s new legislation doesn’t make Bitcoin acceptance obligatory; it only establishes the freedom of crypto use in the country. Telemetro, the local TV network, reported.
Related Reading | Survey Shows 25% Of US Teens Prefer Cryptocurrency Investment
More Countries located in Central America now join the crypto industry amidst El Salvador’s adoption of Bitcoin as legal tender.
Bitcoin has taken a big blow and now it’s trading downward | Source: BTCUSD on TradingView.com
A company situated in Honduras has installed its first Bitcoin ATM towards the ending of August. These BTC ATMs allow users to purchase ETH and BTC with lempira, the country’s local fiat currency.
Featured image from Pixabay, chart from TradingView.com
NewsBTC
Montana Passes Bill to Recognize Utility Tokens and Exempt Them From State Securities
n The U.S. State of Montana recognized utility tokens and exempted them from state securities by passing a new billn
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US Copyright Office Says It Does Not Recognize Craig Wright as Satoshi
No, the U.S. government didn’t officially recognize Craig Wright as Satoshi.
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Wyoming Passes Bill to Recognize Cryptocurrencies as Money
n Wyoming state legislature has passed a bill to recognize cryptocurrency as moneyn
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Texas Financial Watchdog May Recognize Stablecoins as Money for Licensing Purposes
n A memo from the Texas Department of Banking considers treating stablecoins as money under the Texas Money Services Actn
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