Are Countries Uniting to Combat Suspicious Cryptocurrency Trades?

Are Countries Uniting to Combat Suspicious Cryptocurrency Trades?

As the fame and application of cryptocurrencies in the world are increasing, the necessity for the existence of regulations in this field is also on the rise day by day. 15 countries in the world including Singapore and Australia will gather around to form a public group in order to combat suspicious cryptocurrency transfers and get this process under their control. These countries intend to gain a better control on transfers in the cryptocurrency world, by forming a data center and a system for sharing data.

What Is the Aim of the United Countries to Control Cryptocurrencies?

The reason for the coalition formed by these countries in order to launch such a system, is to combat money laundering and potential terrorist actions that can be followed up in the infrastructure of Blockchain and with the help of cryptocurrencies. The measures for combating crimes in the field of cryptocurrencies will be taken by the Financial Actions Task Force. This organization has 30 member states from different countries and will continue its activities with the aim of combating money laundering. Seemingly, the operations and programs of this organizations are going to be determined and operationalized precisely by 2020.

Have Global Actions to Organize the Crypto World Been Successful?

During the 10 years after the advent of Bitcoin and other cryptocurrencies, states and regulators all across the world have constantly been trying and in turmoil to better understand them and empower themselves to establish a legal framework for these newfound currencies. Japan, was the first country that stepped forward to regulate cryptocurrencies. These measures were taken by Japan in 2017. Given the actions that have been taken from time to time in order to regulate cryptocurrencies, but still the lack of international criteria and standards has made different countries and states to be unsuccessful in controlling cryptocurrencies. For this reason, the most attempt on the part of states in guiding and controlling cryptocurrencies, was banning and restricting them.

Are the Concerns of States with Respect to New Cryptocurrencies True?

The concerns that different states have about the uses and applications of cryptocurrencies, are completely true. For example, consider Facebook’s new cryptocurrency, Libra. This cryptocurrency which is supposed to work in the infrastructure of messaging services, will provide a great deal of choices and creativity to criminals who are looking into doing destructive operations like terrorist activities. For this reason, the government of U.S. and other countries have expressed their concerns about it. These days, the need for a consensus in setting clear regulations in the field of cryptocurrencies on an international level is felt more than any other time. Otherwise, the irregularities that take place in the world due to criminal applications of cryptocurrencies around the world will be fully outside the control of international organizations, countries, and states, and hefty costs will be incurred on countries. Measures that are taken by countries like Australia and Singapore in order to combat money laundering and other problems in the crypto world, are considered a suitable start in order to give more priority to regulations in the crypto world.

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