Bitcoin News and Price | Bitcoin.News

EU to Regulate AI Use of Copyrighted Material

by Blockchain NewsApril 28, 2023

The use of artificial intelligence (AI) in content creation has led to controversies regarding its use of copyrighted material. In response, the European Union (EU) has passed a draft bill aimed at regulating the use of AI tools in such scenarios. The bill is part of the EU’s Artificial Intelligence Act and was proposed as draft rules almost two years ago.

The new bill will classify AI tools according to their risk level, ranging from minimal and limited to unacceptable. High-risk tools will not be banned outright but will be subjected to stricter transparency procedures. The bill will also oblige generative AI tools, including ChatGPT and Midjourney, to disclose any use of copyrighted materials in AI training.

The legislation has been seen as a middle ground between too much surveillance and over-regulation that protects citizens while also fostering innovation and boosting the economy. Svenja Hahn, a member of the European Parliament, commented on the bill’s current status, stating that it strikes a balance between protecting citizens and fostering innovation.

The use of AI in the financial industry was also discussed in the latest edition of Eurofi, a European think tank composed of enterprises in the public and private sectors. The publication included a section on AI and machine learning applications in finance in the EU, which included five mini-essays on AI innovation and regulation within the EU. All of the essays touched on the upcoming Artificial Intelligence Act.

Georgina Bulkeley, the director for EMEA financial services solutions at Google Cloud, stated that AI is too important not to regulate and that it is too important not to regulate well. These developments come after the EU’s data watchdog expressed concerns about potential issues that AI companies in the United States may face if they do not comply with the EU’s General Data Protection Regulations.

In conclusion, the EU’s move to regulate AI use of copyrighted material is an attempt to strike a balance between protecting citizens and fostering innovation. With the increasing use of AI in various industries, it is important to have regulations in place to ensure that AI tools are used ethically and responsibly.

Source

European Union Introduces Comprehensive Crypto Law

by Blockchain NewsApril 22, 2023

The European Union (EU) has made history by introducing the world’s first comprehensive crypto law. Lawmakers in the EU voted 517-38 in favor of the Markets in Crypto-Assets (MiCA) licensing regime, with 18 abstentions. The new law requires crypto wallet providers and exchanges to seek a license to operate across the bloc, and issuers of stablecoins tied to the value of other assets to maintain sufficient reserves. The EU also voted in favor of a separate law known as the Transfer of Funds regulation, which requires crypto operators to identify their customers in a bid to halt money laundering.

The new regulations have been introduced to protect consumers and safeguard financial stability and market integrity. They are expected to apply from next year. In a tweet, the European Commission’s Mairead McGuinness hailed the vote as a “world first” for crypto rules.

According to Stefan Berger, the lawmaker who led negotiations on the law, the EU’s crypto-asset industry now has regulatory clarity that does not exist in countries like the US. “The sector that was damaged by the FTX collapse can regain trust,” Berger said in a statement released by the European Parliament.

The introduction of MiCA puts the EU “at the forefront of the token economy,” said Berger. The EU’s move towards regulating the crypto industry is seen as a positive step in preventing fraudulent activities such as money laundering, which has been a growing concern in the industry. The Transfer of Funds regulation requires crypto operators to identify their customers, which should help to prevent the use of crypto assets for illicit purposes.

However, the European Securities and Markets Authority (ESMA) warned that investing in crypto assets is still a risky endeavor with limited safeguards at this stage. The EU agency added that it would announce its timetable for drafting secondary legislation under MiCA in due time.

The introduction of comprehensive crypto regulations by the EU is likely to have implications beyond Europe. Other major jurisdictions may also follow suit, as governments around the world grapple with the challenge of regulating the fast-evolving crypto industry.

In conclusion, the introduction of the Markets in Crypto-Assets licensing regime and the Transfer of Funds regulation by the European Union represents a significant milestone in the regulation of the crypto industry. The move is expected to provide greater regulatory clarity and protection for consumers, while also safeguarding financial stability and market integrity. The EU’s decision to introduce comprehensive crypto regulations is likely to be closely watched by other major jurisdictions around the world.

Source

Tagged : Crypto / European Union / LICENSING REGIME / MONEY LAUNDERING / News / Regulation

EU Proposes Cap on Anonymous Crypto Transfers

by Blockchain NewsMarch 29, 2023

The European Union has taken a step towards greater financial transparency with a proposal to limit anonymous crypto transfers to 1,000 euros ($1,083) to combat money laundering and terrorist financing. According to a statement from the European Parliament published on March 28, the new limit would apply to transfers where a customer cannot be identified. Cash transactions would also be capped at 7,000 euros ($7,585).

The proposal is part of the Anti-Money Laundering and Countering the Financing of Terrorism package and is expected to be confirmed in a plenary session in April. Negotiations on the final shape of the bills will then begin. The new regulations will be enforced by the European Anti-Money Laundering Authority (AMLA), which was formed in June 2022.

The AMLA’s co-rapporteur, Emil Radev, stressed the importance of close cooperation between the new authority and national supervisors. He also called for the AMLA to directly supervise the riskiest crypto asset service providers and companies in the financial sector that operate in several member states.

Lawmakers overwhelmingly approved the text relating to anonymous instruments, including crypto assets, with 99 votes in favor, eight against, and six abstentions. The move is part of a wider push towards greater transparency in the financial sector, with the EU seeking to tackle the threat of money laundering and terrorist financing.

Crypto assets have long been seen as a potential haven for illicit activities due to the ease with which they can be transferred anonymously. The new regulations seek to address this issue by increasing transparency and accountability in the crypto sector.

The proposal is part of a wider push by the EU towards greater financial regulation. The European Central Bank has previously called for a global approach to regulating cryptocurrencies, warning that they could pose a threat to financial stability. The EU’s proposals also follow recent moves by other countries, such as China, to tighten regulations on crypto assets.

While the EU’s proposals have been welcomed by many in the financial sector, some have raised concerns about the potential impact on privacy and the practicalities of enforcing the new regulations. Nonetheless, the EU remains committed to tackling money laundering and terrorist financing, and the new regulations are just one step towards achieving this goal.

Source

Tagged : Anti-Money Laundering / CRYPTO TRANSFERS / EUROPEAN ANTI-MONEY LAUNDERING AUTHORITY / European Union / MONEY LAUNDERING / News / TERRORIST FINANCING

Ethics of Web3 Discussed at Paris Blockchain Week

by Blockchain NewsMarch 23, 2023

Web3 technology is becoming increasingly pervasive in mainstream industries, raising important questions about the ethics needed to operate in the space. During the second day of Paris Blockchain Week 2023, a panel of professionals from the Web3 ecosystem took to the Venus de Milo stage to discuss the “Ethics of Web3.”

The panel was moderated by Moojan Ashghari, co-founder of Thousand Faces Web3 investment club. Ashghari opened the discussion by stating that the ethical framework or standard of technology will always lag behind the introduction of the technology. He emphasized that the biggest challenge of ethics is determining the right questions to ask in order to ensure that the technology does not harm us in the near or far future.

The panelists unanimously agreed that innovation typically comes before any ethical standard is implemented. Margaux Frisque, co-founder of and legal adviser to the Women in Web3 Association, highlighted the upcoming Markets in Crypto-Assets (MiCA) framework in the European Union as an example of turning ethics into law to protect people and innovation.

Frisque explained that the MiCA framework was inspired by feedback from past operations and will soon oblige businesses to segregate the funds of their clients from other bank accounts. She praised this as an example of good behavior that has been turned into hard law to protect people and innovation.

Paris Blockchain Week also hosted an entire panel discussion on the upcoming MiCA regulations, during which industry experts and regulators discussed the implications of European lawmakers’ proposals. While the proposal has faced several delays, it is set for a final vote in April 2023.

Loic Brotons, CEO of Galeon, echoed the sentiment that behavior influences ethics. He pointed out that “mixing innovation and ethics is a bit complicated” and that innovation typically comes first. He used the FTX scandal as an example, where the lack of verification led to problems. He stated that exchanges are now providing proof-of-reserves so that people can follow the money and verify their trust.

In conclusion, the Ethics of Web3 panel at Paris Blockchain Week highlighted the importance of implementing ethical frameworks in the Web3 ecosystem to protect people and innovation. The MiCA framework in the European Union was cited as an example of turning ethics into law to achieve this goal. As the Web3 ecosystem continues to grow and evolve, it is crucial to consider the ethical implications of new technologies to ensure their responsible and sustainable use.

Source

Tagged : Ethics / European Union / Innovation / MARKETS IN CRYPTO-ASSETS / News / Technology / Web3

The European Commission Announces the Launch of the European Blockchain Regulatory Sandbox

by Blockchain NewsFebruary 17, 2023

On February 15, the European Commission made the announcement that it will be launching the European Blockchain Regulatory Sandbox. The regulatory sandbox will serve as a forum for discussion around 20 new projects each year until the year 2026.

The sandbox was first announced in the year 2020, and it is now being managed by a number of private companies who were successful in winning bids in the year 2022. The Digital Europe Program will be responsible for providing the funding. Use cases from the public and commercial sectors that include “Blockchain and other Distributed Ledger Technologies” will be considered for the selection of projects, which will be done on a competitive basis by an impartial panel of academic experts.

Applicants from the public sector that have initiatives relating to the European Blockchain Services Infrastructure (EBSI) will be taken into consideration. The European Blockchain Standard Initiative (EBSI) is a pan-European blockchain that is managed by a coalition of EU nations, together with Norway and Lichtenstein.

Participants in the yearly sandbox cohort will be paired with national and European Union regulators in order to get private legal counsel and regulatory assistance. At the same time, regulators will have the chance to become familiar with cutting-edge blockchain technology.

The deadline for applications to participate in the first round of projects is April 14. The projects need to have a proof of concept that has been verified according to the standards, and they need to have a dimension that crosses borders.

The projects that have already been selected for deployment by public authorities will be given precedence. The European Economic Area is where a company’s headquarters should be located (EEA). As long as the EEA-based firm is the one to ultimately benefit from the initiative, these companies are allowed to work in partnership with enterprises headquartered outside of the EEA. Participants should not expect to have any of their costs repaid.

The chosen projects will each be provided with a written legal evaluation, which will be followed by two virtual meetings with the involved regulators. Additionally, applications are being accepted for the EBSI Early Adopters incubator program, which is now in its third cohort.

In the Financial Services Innovation bill that was being introduced in the United States House of Representatives by Patrick McHenry, a comparable sandbox program was suggested. In the next iteration of the United Kingdom’s changes to its financial services industry, a sandbox program of a similar kind may also be included.

Source

Tagged : BLOCKCHAIN MEETUP / European Union / News / Regulation / Sandbox

Banks Holding Cryptocurrencies Face Strict New Regulations in European Parliament

by Blockchain NewsFebruary 14, 2023

A report on a draft measure that would require banks that hold cryptocurrencies to put aside a significant amount of capital in an attempt to mitigate possible risk has been published by the European Parliament.

EU lawmakers stated in a notice dated February 9 that any framework that is applied to crypto assets should “adequately mitigate the risks of these instruments for the institutions’ financial stability.” These lawmakers proposed that banks apply a risk weight of 1250% on their exposure to digital assets, which is one of the highest risk ratings for investments. The regulations were not supposed to take effect until the 30th of December in 2024, according to the draft legislation.

According to the report, “the rapid increase in the activity of financial markets on crypto-assets and the potentially increasing involvement of institutions in crypto-assets related activities should be thoroughly reflected in the Union prudential framework,” with the goal of “adequately mitigating the risks of these instruments for the institutions’ financial stability.” This recommendation was made in light of the fact that “the rapid increase in the activity of financial markets on crypto-assets and the potentially increasing involvement of institutions in crypto-asset “In view of the recent unfavorable events in the markets for crypto-assets, this matter is far more pressing than it already was.”

The parliament said that the proposed modification was in accordance with the recommendations made by the Basel Committee on Banking Supervision, also known as the BCBS, regarding the mitigation of possible risks. The legislators agreed that these guidelines have to be put into effect before the year 2025.

A vote on the legislation is anticipated to take place in April. The draft law said that the European Commission should present a proposal on the crypto framework by the 30th of June, taking into consideration the criteria under the EU’s Markets in Crypto-Assets framework, or MiCA. After then, it is probable that the whole parliament will be given the option to vote on whether or not the proposed measure should be made into law.

Source

Tagged : Banks / Cryptocurrencies / European Union / Law / News / Regulation

Bitstamp acquires a Spanish crypto licence

by Blockchain NewsNovember 19, 2022

Bitstamp said that it has been granted a licence to do business in the crypto sector in Spain.

Since it was founded in 2011, the exchange has been primarily concentrating on the market in the European Union. This permission comes from yet another European jurisdiction.

The information on the company’s Spanish licence was made public on November 17th.

The authorization granted by the Bank of Spain to Bitstamp’s local subsidiary enables the company to provide digital currency exchange services for fiat money as well as electronic wallet custody services to customers located in Spain.

Following in the footsteps of companies like as Binance and Bitpanda, Bitstamp was granted a licence in Spain, making it the 46th virtual asset supplier to do so.

Recent developments in Spain have shown a moderate attitude to crypto legislation, which coincides with the rapid speed of adoption of cryptocurrencies throughout the nation.

By the autumn of this year, the nation had established what is now the third-largest network of automated teller machines that dispense Bitcoin and other cryptocurrencies, behind only the United States and Canada.

It presently has 215 crypto ATMs, putting it in fourth place, after El Salvador (which only has 212 ATMs) since it has surpassed the nation in terms of the number of ATMs.

Over the last several years, Bitstamp’s compliance efforts have been steadily growing.

In April, it made the request for users to modify the origin of cryptocurrencies that were being kept on the site so that it could comply with regulations.

Source

Tagged : #Bitstamp / European Union / News / Spain

European Parliament Ratifies MiCA Framework in Landslide Vote

by Blockchain NewsOctober 11, 2022

The long-awaited Markets in Crypto Assets (MiCA) regulation has just scaled through the European Parliament as MPs voted massively in favour of the bill.

As reported by the Economic Committee Press, the bill received a 28:1 vote to scale, completing the tripartite deal needed to push the bill into its next implementation phase.

The European Parliament vote comes after the European Council also voted to pass the bill last week. As it stands, the European Union will now be more focused on perfecting the bill’s details to add it to the EU Journal, where the official implementation process will begin.

“It is important to ensure that the [European] Union’s financial services legislation is fit for the digital age and contributes to a future-ready economy that works for the people, including by enabling the use of innovative technologies,” said the MiCA text as of Oct. 5.

The MiCA bill has been the talk of the crypto world for a while now, and with the Parliament’s approval, the bill is one step closer to being implemented across the board.

Perfecting Individual Regulatory Roles

Despite the passage of the MiCA, each body of the European Union is making further studies into the industry. Based on this, the European Commission has put out a call for participation in a pilot trial in which it seeks to offer more in-depth monitoring of the Ethereum protocol and the Decentralized Finance (DeFi) activities running on it.

According to the European Commission’s document, the body’s top focus through this trial/study is hinged on the “automated supervisory data gathering directly from the blockchain to test the technological capabilities for supervisory monitoring of real-time DeFi activity.”

The DeFi world is quite advanced, and the industry is most expressive on the Ethereum blockchain. Notably, the European Commission’s move will help tame the growing industry and ensure comprehensive oversight on the industry.

The call for participation is out, and submissions are expected until December 1.

Image source: Shutterstock

Source

Tagged : Digital Currency / Eu / EUROPEAN COUNCIL / European Union / MICA / Regulation / Stablecoin

EU Agreement on MiCA May Not Favor Stablecoins

by Blockchain NewsJuly 2, 2022

After much deliberation and compromises from the European Commission, Assembly, and Council, a final agreement that builds the comprehensive framework for the digital currency ecosystem has finally been made.

Known as the Markets in Crypto Assets (MiCA) framework, the newly agreed regulation has been lauded by several industry figures and has been termed a landmark achievement that will favor the growth of the digital currency ecosystem in the European Union.

Beyond the region, expectations also abound that the new regulation will serve as a viable standard for other regions to also develop theirs.

With the final agreement signed, many permutations are now being made to highlight how the new comprehensive regulation will affect key participants in the industry.

The Stance of MiCA on Stablecoin

Ernest Urtasum, a member of the European Parliament shared the news about the finalized agreements on MiCA, adding amongst many things the stance of the bill on stablecoins.

“Agreement between the EU institutions on MiCA: we will have a common harmonized EU-wide regime for crypto-asset issuers and service providers, that will provide security for investors and support sustainability, while to reducing fragmentation and increasing legal clarity,” he said via a long Twitter thread, “MiCA provide safeguards against cases like the crypto-crash, the collapse of the stablecoin LunaUSD. Large stablecoins will be subject to strict operational and prudential rules, with restrictions if they are used widely as a means of payment, and a cap of 200€millions in transactions/day.”

The obvious cap placed on stablecoin transactions on a daily basis, however, may not work out as projected as stablecoin transactions run into billions of dollars.

According to data from CoinMarketCap, Tether’s (USDT) trading volume over the past 24 hours at the time of writing is pegged at $32.7 billion, a figure that is way above the defined threshold. While USDT is just one of the many stablecoins around, this particular clause of MiCA is being faulted by many industry stakeholders as a whole.

Earlier, agreements not to ban Proof-of-Work (PoW) mining had been enshrined into MiCA, thus eliminating future concerns about Bitcoin Mining in the region.

Image source: Shutterstock

Source

Tagged : Digital Currency / European Union / MICA / Regulation / Stablecoin

EU Plans to Bar Interest Payments on Deposits in Stablecoins

by Blockchain NewsJune 28, 2022

Europeans and the entire digital currency ecosystem have been potentially awaiting the Markets in Crypto Assets (MiCA) bill, which has been projected to be passed before the end of the year.

With a series of forecasts out in the open, Patrick Hansen, the head of Strategy at Decentralized Finance (DeFi) startup Unstoppable Finance, said the expected bill could come as early as this month’s ending.

Taking to Twitter to share a series of updates concerning the anticipated crypto markets bill billed to be the most comprehensive to date, Hansen said the last political trilogy meeting needed to pass the bill is set to take place on June 30. This is when the EU institutions (Council/Parliament/Commission) will be meeting under one roof.

While most issues have already been finalized, a few are still left hanging. One of these is related to the classification of Non-Fungible Tokens (NFTs) and how they are regulated within the region.

Hansen noted that the European Commission wants to add NFTs as a component of MiCA but that the Council and Parliament are initially against it, but are now more likely to make a compromise. Should NFTs be a part of MiCA, service providers like OpenSea, and Rarible or marketplaces operating in the region will be required to obtain suitable licenses.

The Deal About Stablecoins

According to the update shared, the major concerns with respect to stablecoins in the bill are already finalized and what applies to regular fiat-backed stablecoins is what will bind their algorithmic counterparts.

While there will be high regulatory requirements for issuers of both EMT (e-money-tokens) and ARTs (asset-referenced-tokens), the bill will ban Crypto Service Asset Providers from charging interest rates on stablecoin deposits. Unlike what many have also suggested, Bitcoin will not be banned in the region, affirming the earlier resolution not to ban Proof-of-Work (PoW) mining.

The regulatory framework being defined by MiCA is bound to be the most comprehensive in the world, and experts predict that it may guide other nations, including the United States, in formulating a law to govern the digital currency ecosystem.

Image source: Shutterstock

Source

Tagged : Eu / European Union / MICA / NFT / Regulation / Stablecoin