EU ministerial meeting in Vienna – Belgian think-tank Bruegel advises common set of rules

On Friday and Saturday, 7 and 8 September, the EU finance ministers will meet for an informal meeting in Vienna. Among other things, the legal handling of crypto currencies will be on the agenda. The Belgian think tank Bruegel is now calling on the ministers to push ahead with the joint regulation of the cryptosector. They could, for example, target mining farms or trading platforms in order to dispel misgivings about tax evasion and money laundering in the crypto-currency environment.

However, there is no immediate pressure to act against the Bitcoin loophole

If the EU finance ministers weigh up the opportunities and risks of Bitcoin loophole this weekend at their first meeting under the Austrian Council Presidency in Vienna, the Belgian think tank Bruegel advises the ministers to adopt a clear position in a consultation document. Read about it here:

There was a need for common standards and a common set of rules for the crypto trade and initial coin offerings (ICOs). This clear message emerges from a consultation paper for ministers, which is available to Reuters.

The document states that it is „impossible“ these days to regulate crypto currencies such as Bitcoin itself. But the control of activities in this sector is possible, for example, through stricter rules or even bans on mining farms. Asian countries, for example, which pursue similar strategies, could have achieved great successes.

As has already happened in China, mining farms could be banned by the news spy

Furthermore, European legislators could in future target stock exchanges and trading platforms in order to gain more control and an overview of the news spy. As the document further states, such supervision could become necessary especially in light of the planned settlement of the news spy Chinese cryptory Binance in Malta.

At present, however, the ball is in the court of the respective ministers. The stock exchange control is still subject to the official authority of the member states. Existing European initiatives such as the Anti-Money Laundering Directive are unlikely to take effect until 2020.