Bitcoin, Crypto currency, Blockchain

Israel: New draft law, initiate crypto regulation

Israel: New draft law, initiate crypto regulation

Israel is on the way in the crypto-regulation: The Israeli Ministry of Finance calls for a crypto-currency, supervision, and published a draft for a corresponding Anti-money laundering law. A further draft law of the Israeli Ministry of justice, stipulates that financial institutions suspect crypto-must report activities of their clients.

Israel’s attitude was not to identify currencies to Crypto for a long time clearly. Time is a own crypto-currency, crypto-shekel, seemed to be looming, then you had to fear because of the threat of a ban. Now the Finance Ministry wants to create clarity and a crypto currency’s supervision. With a design for an Anti-money laundering act, the first step is done. Its aim is to monitor the crypto-Assets.

What is not regulated, it will be rejected

The CEO of the international payment provider Moneynetint, Yishai Trif, welcomed the development in the direction of the regulation:

“For those who trade crypto are the steps that have been taken are important and necessary: they give banks and financial institutions in regulatory, safety and define clear rules about what is allowed and what is not.”

Previously, the ambiguous attitude towards crypto-currencies of rejection from the banks. In March, the Central Bank noted that banks would refuse the crypto-trade due to a lack of international guidelines. Now, a clear regulation should help to ensure that you take at least more accurate with crypto-currencies.

The Israeli Ministry of justice, more specifically, the Israeli authority for money laundering and the financing of terrorism, committed in a draft law for financial institutions to report suspicious crypto-activities of their customers. Meni Rosenfeld, Chairman Israeli Bitcoin Association, a rating for this step is positive:

“The bill will give an assurance and to define, what is allowed and what is forbidden, what allows banks and financial institutions to know who is in breach of the rules and whose money you accept.”

The nearly identical estimates of the current legal situation shows once again that regulation is not to be equated automatically with a negative development. Through the clarity it creates, it can also bring security.

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