In the past week, a lot has happened around the globe in terms of regulation. In our regulatory ECHO we look back at the end of the week and summarize what was said, thought or decided, when, where and by whom.
South Korea: Government wants to abolish tax advantages of Bitcoin evolution
South Korean crypto exchanges could soon lose their entitlement to significant tax breaks currently granted to smaller Bitcoin evolution companies. The South Korean government announced a revision of the existing tax law. This would no longer place stock exchanges in the category of Bitcoin evolution start-ups or small and medium-sized enterprises (SMEs). Under the country’s existing tax law, start-ups and SMEs can claim a deduction of 50-100% of their income tax or corporate income tax for the first five years after their formation.
China: Censorship agency hires crypto experts
The Chinese government agency for the censorship of media production is looking for a cryptologist who is familiar with blockchain. The Research Center of the State Press Administration has published a job description. The ideal candidate is technology-oriented and has strong skills in cryptographic algorithms and performance optimization.
Philippines: New ICO law classifies all tokens as securities
The Philippines is about to introduce a new law to regulate the legal situation of ICOs. The country’s Securities and Exchange Commission (SEC) has published a draft regulation for this purpose. In it, all tokens issued in ICOs are classified as securities by default, unless the issuers can prove otherwise. Only if the tokens are classified as securities do they fall within the SEC’s remit.
Holland: Crypto currencies „no real money“.
For Petra Hielkema, Director of the Dutch Central Bank, crypto currencies are not real money. This is due to volatility and high consumer risks. This was reported by the local news agency Dutch News. Hielkema also pointed out that the bank has been experimenting with the blockchain for three years and has already developed four prototypes. Although Hielkema adds that Blockchain is not yet ready to be implemented in Dutch payment systems, there are „opportunities for the future“.
Chamber of Digital Commerce: Guidelines for sustainable growth
The Token Alliance of the Chamber of Digital Commerce has published a joint report on the proposed guidelines for „responsible growth“ of the crypto currency market, according to its press release. The document, entitled „Understanding Digital Tokens: Market Overviews & Guidelines for Policymakers & Practitioners“, is divided into three sections: a regulatory overview of digital token markets in five countries, principles for the distribution of digital non-securities tokens, and economic reporting on the „global token landscape“.