The German government wants to strengthen BaFin’s rights in the case of crypto-currencies
Home News the German government wants to BaFin rights in the case of crypto-currencies strengthen
Matthias Nemack –
Germany’s policy in dealing with the Blockchain, Bitcoin and co. heavy, is known. Now, the Federal government reports a Berlin-based judgment on the subject. With potentially significant legal consequences.
Final judgment would have an impact on the entire crypto industry
The Berlin court of appeal had ruled in October of this year, that there is no need for licensing by the Federal financial Supervisory authority to operate a Bitcoin exchange. The proceedings in question related to the exchange of a man who had opened its own platform for Bitcoin trading. What was it about? The court was taken to the realization that Bitcoin is not a financial instrument in the actual sense, and not as a unit of account.
Federal policy vs. court of judgment – the role of the BaFin is to be corrected
The resulting Licence would, ultimately, impact on trade with other currencies such as Ripple, or Monero. Thus, the approval of the BaFin, would generally not be required, since the authority would simply not responsible. For the Federal government, the Federal Ministry of Finance expressed himself quite out of date. There you doubts the correctness of the assessment and does not see that a stock is entitled to operating without a license. As a result, the government wants to strengthen the Position of the BaFin, as it is called, among other things, in the Frankfurter Allgemeine Zeitung and other media. The FDP had previously asked for a unique “crypto-strategy” for the German market.
It takes soon for exchanges and crypto-trade places a BaFin permission?
The government would like to take according to the reporting measures, so that the authority receives in the case of crypto-currencies and platforms around the Blockchain the Decision-making authority. Also conceivable is a Change in the law, which could have at the end of a Permit requirement in this context. Platforms should not be brought without the approval of the market, without an application to the Supervisory authority. The Federal policy is, therefore, of an entirely different opinion than the court of Berlin, that, in a sense, a violation of the competences of the BaFin had attested after the authority wanted to prohibit the stock exchange temporarily.