Introduction
Bitcoin hit a new all-time high above $68,000 this Wednesday. Just two days after hitting its previous all-time high.
While the price of Bitcoin dropped close to $65,000, considering the price evaluation of Bitcoin last November, it is an impressive feat.
So what should Crypto investors do in the latest popularity increase? Of course, they should take this opportunity to invest in Bitcoin and other Cryptocurrencies using quantum ai.
How Have The Worldwide Nations Reacted To Bitcoin?
The idea of having a digital currency is new. Central banks from all around the world are still reeling over Bitcoin and Blockchain technology. Blockchain and Bitcoin show the potential of changing fiat currencies’ status quo and making it a real contender for replacing traditional fiat currencies.
The Bitcoin industry is like a steep surface. The escalated side shows that it has the potential to solve modern-day financial problems by offering technologies like Blockchain and Ethereum.
On the other hand, the steep side shows that giving too much freedom can risk the integrity of countries’ own paper money.
It has been almost twelve years, but the nations are yet to find the right balance to integrate Bitcoin in the financial stream.
Despite uncertainties around Bitcoin, there are a few nations that are betting on Bitcoin’s future solving potential and are adopting it to their current financial system.
Cryptocurrency Regulation Around The World
With the rise of Cryptocurrencies, countries have been rushing to build a framework to support Cryptocurrencies. There has yet to be any fixed provision regarding the regulation of Bitcoin and Cryptocurrencies around the world.
Here are a few nations that have taken things into their own hands and have started regulating Cryptocurrencies to some extent.
1. USA
The USA was the first nation to adopt Cryptocurrencies. Although during the early years, the government was not supportive of the thought of having a digital currency with the potential to replace Dollars. Seeing how it has been performing lately, the USA now supports Bitcoin in the open market.
In fact, the US government has made it clear that the profit made in Bitcoin trading and investment will be considered regular income, and the person making the profit will be liable to pay taxes.
2. The European Union
The European countries considered Bitcoin and other countries legal. But the rules of regulation differ across the member states. Taxation also varies. Depending on which states you live in, you might have to pay somewhere in between 0% – 50%.
Furthermore, you can legally exchange Cryptocurrencies. However, to become part of the exchange industry, you first need to register yourself with a local financial authority. Only they can operate across European countries.
3. Russia
Like the other two that we mentioned east, Russia shares a different opinion regarding Bitcoin and Cryptocurrencies. In Russia, Bitcoin is considered money, and according to law, there cannot be any substitute for Russian fiat currencies, thereby making Bitcoin illegal in Russia.
Currently, the government is making a new proposal, which can confiscate all your Crypto assets after being passed.
4. United Kingdom
The United Kingdom is a part of the European Union, but they share different thoughts. They have different regulation policies for Bitcoin and other Cryptocurrencies.
If a Crypto Exchange platform wants to do any business in the UK, they first need to register with the Financial Conduct Authority.
5. India
While India has adopted blockchain technology, Bitcoin has lost the uphill battle. The popularity of Blockchain is more than Bitcoin. However, in India’s recent lift of the Crypto ban, we can hope to see a new wave of Crypto investors.
While much of the concern in India related to Cryptocurrency is money laundering, with the right regulation, regulators can protect and foster progress.
Take Away
The regulation of Bitcoin varies depending on the country. Some countries have welcomed the new technology and innovation with open hands. While some countries still have mixed feelings about it.
Many of the concerns regarding Cryptocurrency and Bitcoin are related to money laundering and terrorist financing. However, if you can turn back the pages and see, some of the major money laundering cases are related to central banks, not Cryptocurrencies.
As time goes, we will have to see how Cryptocurrency regulation develops.
