[2022-12-16] Germany calls for global regulation of the cryptospace

[goldkingcoiner]

I reckon no amount of stricter regulations will stop the more advanced type or the higher level scammers similar to Sam Bankrupt-Fried who, has the political connections and who has wealthy financial backers that can finance their criminal and moneylaundering operations. Everyone should become very much aware of this.

I would be shaking my head if we, the commoners of the cryptospace, would support a move for stricter global regulations in crypto. This will only make the use of cryptocoins, Defi and other protocols harder for us commoners, however, it will certainly not make it more difficult for those higher level criminals to create and fund their scams in crypto.



Cryptocurrency regulation is currently a focal point for regulators and lawmakers all across the world. Regulators have been tightening the noose around the crypto industry to safeguard consumers from bad actors.

The colossal fall of the FTX crypto exchange has alarmed regulators even more, and lawmakers are trying to bring effective and efficient crypto regulation into place.

The president of BaFin has censured the current synopsis of the regime that governs the crypto sectors as not strict enough. This points toward the condition where the industry will not be able to keep bad actors in control.

Read in full https://bitcoinist.com/germany-calls-global-regulation-of-crypto-industry/

I do not think that Germany fully understands the concept of decentralized finance. They are still thinking of crypto in terms of digital money, like Paypal. They are completely leaving out the issue of the unregulatable nature of smart contract swapping of crypto. Especially when it comes to DeFi.

How exactly do they think they can demand KYC from every single person with a self-custody wallet? How are they even going to find the people the wallets belong to? Do they just hope that everyone with a wallet makes themselves known? Or are they going to demand unreasonable and impossible KYC demands for service/goods providers who accept Bitcoin?

All these demands from unknowing politicians are just empty threats, because they cannot actually do anything. I am certain that they only demand more to be done as a way to make themselves look good (as in PR stunts) by pretending like they have found a solution of somehow centralizing a decentralized, anonymous money. Lets not forget, they have not even been able to control Bitcoin as they would a regular security. And Bitcoin has been unrestrained for over a decade now.

What chance do they think they have with DeFi? Not even mentioning privacy coins like Monero. At some point they will realize that they cannot attack the end points like crypto exchanges because there are always other ways to buy and sell crypto. Its over. The governments can only kick and scream now. We have won.

The fact that the oldest crypto, Bitcoin, has not been put on a leash by the government is the greatest proof of this.

[Woodie]

As much as we hate a regulated crypto ecosystem, I think global regulation of the cryptospace will give investors the confidence and protection

to invest in the industry without having the fear of bad actors taking advantage of them.

But the million dollar question is , who will draft these laws? Will these laws be suited for every country that recognizes the existence of crypto?

Are politicians going to support this idea or it will be another opportunity for them to invest their selfish intentions by building crypto businesses that will make the most from such a development?

Germany calls for global regulation of the cryptospace

You want stricter crypto regulations? That's great! Just put SBF in jail first and then we'll talk. No excuses.

Is SBF likely to walk thought they have their man pinned...

[DooMAD]

As much as we hate a regulated crypto ecosystem, I think global regulation of the cryptospace will give investors the confidence and protection

I don't see it.  If various nation states can't agree amongst themselves on how to regulate other issues like drugs, abortion, euthanasia, gun controls or any other 'political football' you care to name, how will they ever agree on how to regulate crypto?  Particularly considering how they generally understand far less about our ecosystem than they do those other topics.  They won't find any unified agreement, because they'll all be trying to pursue their own agendas, just as they always do.

In the US alone, even the individual states can't agree on what regulation should look like.  So anything global sounds a little far-fetched in my mind.

[Woodie]

I don't see it.  If various nation states can't agree amongst themselves on how to regulate other issues like drugs, abortion, euthanasia, gun controls or any other 'political football' you care to name,

Unfortunately all these mentioned topics boarder around the politics of an individual country and what it's citizens believe is good for them...and the fact that we all have different beliefs and cultures as a people we can never agree on these topics....

how will they ever agree on how to regulate crypto? 

Unlike the guns, drugs etc crypto does not boarder much on the politics as it exists in no man's land though we pretend this beast can be tamed.

Particularly considering how they generally understand far less about our ecosystem than they do those other topics.  They won't find any unified agreement, because they'll all be trying to pursue their own agendas, just as they always do.

I suppose this task can't be left to the politicians alone for obvious reasons , it would need players that understand the technology already, talk about the miners, exchanges, crypto influencers, law agencies etc its a longshot but still cryptos success could require regulation to give it a backbone.

In the US alone, even the individual states can't agree on what regulation should look like.  So anything global sounds a little far-fetched in my mind.

Maybe global is far fetched, but a benchmark for a start should do.

[jetxgamebetcom]

regulate it tighter, requiring from crypto-assets service providers similar requirements

[cr1776]

regulate it tighter, requiring from crypto-assets service providers similar requirements

The only people helped by these regulations are the people in power.  Look at the US (and the world) which has a large regulatory system in place - you had Madoff, Enron, WorldCom, Lehman, Tyco, Theranos, Shkreli, Allen Stanford, Tom Petters, Rothstein, Nicholas Cosmo, Wells Fargo.  Don't forget Wirecard, Volkswagen,  ZZZZ Best etc.

You can have as much regulation as you want and there will still be scammers.  The best choice is to keep your bitcoin in cold storage.

Global regulation is particularly bad because it will end competition between jurisdictions.  In all likelihood you'll end up with a terrible, global regime which will only entrench those in power and enrich them while stopping everyone else from getting out from under their thumb of the century+ long fiat disaster.   With global regulation you might as well completely shut down bitcoin and crypto and general and embrace a digital fiat where every move that every single person in the world makes will be tracked, analyzed and controlled.

[bbc.reporter]

I reckon no amount of stricter regulations will stop the more advanced type or the higher level scammers similar to Sam Bankrupt-Fried who, has the political connections and who has wealthy financial backers that can finance their criminal and moneylaundering operations. Everyone should become very much aware of this.

I would be shaking my head if we, the commoners of the cryptospace, would support a move for stricter global regulations in crypto. This will only make the use of cryptocoins, Defi and other protocols harder for us commoners, however, it will certainly not make it more difficult for those higher level criminals to create and fund their scams in crypto.



Cryptocurrency regulation is currently a focal point for regulators and lawmakers all across the world. Regulators have been tightening the noose around the crypto industry to safeguard consumers from bad actors.

The colossal fall of the FTX crypto exchange has alarmed regulators even more, and lawmakers are trying to bring effective and efficient crypto regulation into place.

The president of BaFin has censured the current synopsis of the regime that governs the crypto sectors as not strict enough. This points toward the condition where the industry will not be able to keep bad actors in control.

Read in full https://bitcoinist.com/germany-calls-global-regulation-of-crypto-industry/

I do not think that Germany fully understands the concept of decentralized finance. They are still thinking of crypto in terms of digital money, like Paypal. They are completely leaving out the issue of the unregulatable nature of smart contract swapping of crypto. Especially when it comes to DeFi.

How exactly do they think they can demand KYC from every single person with a self-custody wallet? How are they even going to find the people the wallets belong to? Do they just hope that everyone with a wallet makes themselves known? Or are they going to demand unreasonable and impossible KYC demands for service/goods providers who accept Bitcoin?

All these demands from unknowing politicians are just empty threats, because they cannot actually do anything. I am certain that they only demand more to be done as a way to make themselves look good (as in PR stunts) by pretending like they have found a solution of somehow centralizing a decentralized, anonymous money. Lets not forget, they have not even been able to control Bitcoin as they would a regular security. And Bitcoin has been unrestrained for over a decade now.

What chance do they think they have with DeFi? Not even mentioning privacy coins like Monero. At some point they will realize that they cannot attack the end points like crypto exchanges because there are always other ways to buy and sell crypto. Its over. The governments can only kick and scream now. We have won.

The fact that the oldest crypto, Bitcoin, has not been put on a leash by the government is the greatest proof of this.

They can only declare that those Defi tokens issued will not pass the howie test and charge them to be illegal securities. It has not discouraged the developers and project creators, however hehehe.

Also, you mention Monero and privacy. There will be more development on privacy 2nd layers on Ethereum that Defi developers can test and later use. Presently there is Loopring, ZKsync, ZKspace and Aztec. I reckon there are a few more others being developed.