Crypto rules around the world

Hi, its Zaheer. By all accounts, the Government of India will introduce a bill to regulate cryptocurrency in the ongoing winter session of Parliament, but nobody yet knows exactly what’s in it. Will India ban all crypto assets or just a few? How will it regulate non-fungible tokens, which aren’t currencies at all?

While we wait (and wait) for clarity, here’s a look at crypto regulations in five countries, two of which are crypto-friendly, two that are crypto-hostile, and one that’s just crypto-confused.
ET Prime Special OfferGet APP

Unwrapped
Crypto rules around the world
Unwrapped
Deep dive into biggest tech stories with our weekly newsletter

Enter your email id
Hi, its Zaheer. By all accounts, the Government of India will introduce a bill to regulate cryptocurrency in the ongoing winter session of Parliament, but nobody yet knows exactly what’s in it. Will India ban all crypto assets or just a few? How will it regulate non-fungible tokens, which aren’t currencies at all?

bitcoin

While we wait (and wait) for clarity, here’s a look at crypto regulations in five countries, two of which are crypto-friendly, two that are crypto-hostile, and one that’s just crypto-confused.

The United States — Confused

US flag

Though it has more crypto investors, exchanges, trading platforms, mining companies and investment funds than any other country, the US still lacks clear official rules for the asset class.

What’s more, legislators and regulators seem woefully behind the curve. When executives from six major cryptocurrency firms went to the US House of Representatives earlier this week, it marked the first time that industry's senior leaders explained their businesses to legislators, Reuters reported.

The US Congress is unlikely to make new crypto rules any time soon, analysts told Reuters, and lawmakers treated the hearing mainly as a fact-finding exercise.

Here’s how muddled things are right now: the US Securities and Exchange Commission (SEC) — the most powerful regulator — typically views cryptocurrencies as securities, while the Commodity Futures Trading Commission calls Bitcoin a commodity, and the US Treasury calls it a currency. The Internal Revenue Service, meanwhile, defines cryptocurrencies as “a digital representation of value that functions as a medium of exchange, a unit of account, and/or a store of value”, and has issued tax guidance.