The Big Tech Show: Bitcoin is back – regulators take control from crypto scammers and cowboys
For years, cryptocurrencies operated on the outskirts of the finance world. Officials including Ireland’s Central Bank governor Gabriel Makhlouf called unbacked cryptocurrencies such as bitcoin “Ponzi schemes”.
But news in recent weeks could see all that changing. Last week, the EU gave final approval to introduce measures to regulate the crypto world, the first to do so globally.
The Markets in Crypto Assets (MICA) will mean firms trading cryptoassests will be required to hold a license and service providers must obtain the names of those sending and receiving cryptocurrencies.
This week on the Big Tech Show, Adrian is joined by Lory Kehoe adjunct associate professor at Trintiy College Dublin and Jon Ihle, deputy business editor of the Irish Independent to discuss the new rules.
Lory says the news is a positive move for the EU.
“The key thing from a European specific perspective is the ability to passport. So you create a hub, let's say, for your MICA hub in Ireland and that enables you to provide those services to the other member states on a seamless basis. So that really is the draw for Europe.”
What will the impact of these new rules have on the everyday crypto trader?
“I think by and large the impact to the average Joe [or] trader will be minimal in the short term” Lory says.
“What you should get out of this though is the entities that meet the MICA requirements.
“You should feel that they are reputable organizations they're being effectively monitored and that you can effectively trust them as opposed to entities that don't meet that test.”
You can listen to the full episode on Independent.ie or wherever you get your podcasts.