New rules around cryptocurrencies and blockchain-based could be developed in the ahead, a European Union official said Monday.

In remarks made after the event, European Commission vice president Valdis Dombrovskis suggested that the bloc’s leadership could pursue additional oversight, though he said such an outcome “depends very much on the facts and circumstance around specific -tokens” and that more work will be performed by the Commission on this front.

He told reporters:

“This depends very much on the facts and circumstances around specific crypto-tokens. Based on the assessment of risks and opportunities and the suitability of the existing regulatory framework for these instruments, the Commission will determine if regulatory action at level is required.”

By contrast, Dombrovskis struck what appeared to be a positive tone about initial coin offerings (ICOs) while also acknowledging the risk for those investing in some of the blockchain projects which conduct token sales.

“[ICOs] have become a way for innovative firms in this field to raise substantial amounts of funding,” he was quoted as saying. “This is an opportunity, but there are also problems that expose investors to substantial risk, such as the lack of regarding the identity of the issuers and underlying business plans.”

The vice president noted that a relatively small amount of cryptocurrency trading occurs within the EU and that, as a result, Europe needs to work with other G20 nations to address these possible risks.

In a way, he echoed a call by officials from France and Germany, two G20 members who said cryptocurrencies could “pose a substantial risk for investors” in a letter earlier this month.

Valdis Dombrovskis image via Johannes Jansson / Wikimedia Commons

The leader in blockchain news, CoinDesk is an independent outlet that strives for the highest journalistic standards and abides by a strict set of editorial policies. Have breaking news or a story tip to send to our journalists? Contact us at

Source link
Blockchain – Crypto – Currency infomation
thanks you RSS link


Please enter your comment!
Please enter your name here