Although 2021 is a good year for the cryptocurrency industry in terms of market performance, the number of jurisdictions banning crypto has more than doubled since 2018.
One Report The Library of Congress (LOC) detailed the 9 jurisdictions that currently impose absolute bans on encryption and 42 jurisdictions that imply bans. This is an increase from 8 and 15 respectively in 2018 when the report was first released.
LOC is the research library of the United States Senate and serves as the country’s national library.
In the context of the LOC report, an absolute ban means that any “transaction with or holding cryptocurrency is a criminal act”, while an implicit ban prohibits cryptocurrency exchanges, banks and other financial institutions from “trading cryptocurrency or to individuals Companies that provide services/trade cryptocurrencies.”
The nine new jurisdictions with absolute injunctions include Egypt, Iraq, Qatar, Oman, Morocco, Algeria, Tunisia, Bangladesh and China.China’s cryptocurrency Bans receive the most attention 2021.
The sharp increase in jurisdictions that have banned or regulated cryptocurrencies in the past three years shows no signs of slowing down, as some governments are currently reviewing their options. In addition to 51 jurisdictions that prohibit cryptocurrencies, 103 jurisdictions have applied anti-money laundering and counter-financing of terrorism (AML/CFT) laws, an increase from the 33 jurisdictions that implemented such laws in 2018 three times.
Due to the power requirements and environmental costs to keep the network running, the Swedish financial regulator and the Swedish Environmental Protection Agency called for a ban on Proof of Work (PoW) mining in November.This is Severely criticized From Paris-based Melanion Capital, the company said the allegations against the mining industry were “completely misguided.”
Sweden’s EU neighbor Estonia will start implementing AML/CFT rules in February.Expect these new rules Change definition What is a virtual asset service provider (VASP) and implicitly prohibits decentralized finance (Go to financial institution) And Bitcoin (Bitcoin).
Last year, when Indian lawmakers considered implementing a cryptocurrency ban, the Indian government caused panic.This The result is not a total ban, But promote the regulation of cryptocurrencies as encrypted assets, and the Securities and Exchange Commission of India (SEBI) is responsible for overseeing the supervision of local crypto exchanges. However, a complete ban is not impossible.