The European Central Bank wants to check all cryptocurrency transactions


The European Central Bank noticed the growing number of cryptocurrency transactions and the increasing number of businesses working to offer blockchain-based products and services and wants to establish a legal framework that can keep the new industry in check.
To reach their purposes, the European Central Bank is looking to improve regulatory mechanisms and enhance data acquisition techniques in order to have a clear image on the information placed on the blockchain.
Though multiple leading voices in the ECB claimed several times over the last years that Bitcoin and digital assets are not part of their regulatory overview, the last actions taken by the European bankers seem to lead us to a different conclusion.
Further on, the European Central Bank has even worked on a special report that looks at the so-called ‘cryptocurrency phenomenon’ trying to comprehend the best means of taking advantage of the new blockchain technology and how to protect European consumers from potential risks involved in cryptocurrency transactions, such as money laundering and financing of terrorist activities.
At the same time, the ECB is looking not only to understand Bitcoin and cryptos, but to also have a better idea where blockchain and digital assets can be better placed in the grand scheme of the traditional financial space.
We have to recall that Bitcoin has been specially created to disrupt and offer an alternative to the present ‘corrupt’ banking system that pushed the world so many times in different financial crises.
The same report from the ECB does not offer however more details on how exactly will the European financial legislators manage to reach their surveillance purposes as more players join the space from platform providers to 2nd layer applications that allow users to engage in different operations and transactions.
Can Bitcoin and cryptocurrencies be successfully kept in check by legislators without losing their main appeal of a decentralized financial world? How much should European regulatory agencies try to intervene and control cryptocurrencies?
These are the main questions we’ll all have to respond to in the following years.

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