The capital that circulates in cryptocurrency amounts to billions of dollars. Governments are already forced to reckon with a digital money surrogate that no one understands. Each country has created separate legal regulations that make it unprofitable to invest in cryptocurrencies. If you want to understand is Ethereum legal or not, it is necessary to study the issue of cryptocurrencies legality in general.
Cryptocurrencies from the legal side
On the legal side, cryptocurrencies are in a so-called legal collapse. Or rather, they were until recently. At first, the governments of even the most advanced countries were in some kind of shock when it came to trying to give a coherent designation to digital gold. In some places, crypto was recognized as a means of payment, somewhere as a unit of account, somewhere as a commodity, and somewhere as an investment or virtual asset. This variety of designations is clearly in favor of cryptocurrencies. The only thing is that everyone flatly refused to accept bitcoin as an alternative to foreign currency.
As a result, each country made its own wording and to this day, each forms its own norms to regulate this phenomenon. And this is not surprising, because the whole problem is the double function of the cryptocurrency. On the one hand – it acts as a carrier of information, for example, in the first bitcoin were encrypted very interesting bank accounts opened in banks in Cyprus. On the other hand, it became popular as a financial instrument – at first, while bitcoin could still be called anonymous, it was actively paid for on the Darknet.
Then, as bitcoin counterparts appeared, cryptocurrency exchanges began to be stamped, thereby creating their own, full-fledged financial infrastructure around it. It has grown to such a scale that today it can be called a separate, full-fledged market, where billions of dollars are circulating. After that, startups began to appear in other areas as well.
The official title is “crypto-assets.” From April to October, a standardization of audits of the circulation of cryptocurrencies is being developed. There is a methodology for evaluating blockchain startups from the Ministry of Economy.
Approached the regulation of cryptocurrencies on the securities and mining side. Each state has its own legal regulations.
Officially recognized as a financial instrument, which refers to any monetary value in digital form. Almost fully formed legal norms of regulation.
Instead of regulatory rules for cryptocurrency changed their legislation. The most advanced regulatory framework is expected to be in place by 2021, which will even allow for the authentication of digital art.
As securities, cryptocurrency remains in a gray area and the legal regulations for dealing with digital assets are still being developed here. Therefore, locals in Singapore are not allowed to transact business with them, and access to the market by U.S. citizens is limited.