European Banking Authority Seeks Universal Accounting Treatment of Crypto-Assets
By Luke Flowers – Crypto Speculator
Results were published after the European Banking Authority (EBA) concluded the assessment of the applicability and suitability of EU law to crypto-assets. Buying and selling crypto is not currently in the scope for the regulated services of EU banking. It has been suggested that it may increase the risk of money laundering with using crypto for cash activities seen to be illicit.
The EBA has recommended that the European Commission investigate the analysis further to work out the right level for an EU response. Several actions have been identified that will take place in 2019 to improve the assessment of financial institutions’ crypto-asset activities and customers potentially facing disclosure practices. The EBA report examined the application of current EU banking, payments, e-money and anti-money laundering laws to crypto-assets; custodian wallet providers and trading platforms for crypto-assets; credit institutions, investment firms, payment institutions and e-money institutions’ role in crypto-assets as well as the regulatory and supervisory issues.
The EBA advised a need for a comprehensive cost and benefit analysis for the European Commission to determine what action may be required at the EU level at this point to promote consistency on the accounting side of crypto-assets.
Adam Farkas, EBA Executive Director has said: “The EBA’s warnings to consumers and institutions on virtual currencies remain valid. The EBA calls on the European Commission to assess whether regulatory action is needed to achieve a common EU approach to crypto-assets. The EBA continues to monitor market developments from a prudential and consumer perspective.”
The European Commission requested further work on crypto-assets, in 2018 the EBA carried out an assessment on the applicability and suitability of EU financial services law to crypto-assets, as well as the activity by credit institutions and investment firms with buying and selling Bitcoin along with other cryptocurrencies.
There is now a wide range of crypto-assets that include those for payments, investment and access to goods or a service. With further review of the cryptocurrency space in 2019 there’s sure to be more evolution to come. Head over to our platform and delve deeper if you are looking to sell cryptocurrency.
Dear valued BC Bitcoin UK Clients,
I hope this email finds you well. We are reaching out to inform you of some significant changes to our services that directly impact our operations within the United Kingdom. Regrettably, due to the recent regulatory developments introduced by the Financial Conduct Authority (FCA) and the implementation of the new Financial Promotions Regime, BC Bitcoin is no longer able to offer our services to clients based in the UK. This very difficult decision is in compliance with the regulatory framework and ensures that we uphold the highest standards of transparency and legality. You can view the FCA publication here: https://www.fca.org.uk/publication/finalised-guidance/fg23-3.pdf As a result, we would like to inform you of the following changes and provide guidance on how to manage your assets with BC Bitcoin:
1. **Service Termination for UK Clients:**BC Bitcoin will no longer be able to accept new purchase orders from clients residing in the United Kingdom.
2. **Continued Operation Outside the UK:**Despite the changes within the UK, BC Bitcoin will continue to operate outside of the UK as normal. Our services will remain unaffected for clients in other regions.
3. **Withdrawal of Assets:**For our UK clients holding assets with BC Bitcoin, we want to assure you that your assets are secure. You have the option to safely withdraw your assets or exchange them to GBP or EUR and subsequently withdraw. We have streamlined the withdrawal process to ensure convenience for our clients.
4. **Conversion of Assets:**To convert your Holdings to fiat please log in to your BC Bitcoin account and submit a sell order for the amount of coin you hold with us. During the process you will shown how much you will receive and asked the bank details you wish to receive payment to. In addition, you can request the conversion by emailing email@example.com from your registered email address. If you encounter any issues or require assistance, our customer support team is ready to help you throughout the process.
5. **Withdrawal Procedure:**To initiate a withdrawal, please email your request to firstname.lastname@example.org from your registered email address. You may be asked some security questions to verify your identity. If you encounter any issues or require assistance, our customer support team is ready to help you throughout the process. These changes are effective immediately, and we appreciate your understanding and cooperation during this transitional period. We understand that this may be an inconvenience for our UK clients, and we sincerely apologise for any disruption this may cause. Thank you for being a valued part of the BC Bitcoin community. We are committed to providing you with a seamless experience as we navigate through these regulatory changes. If you have any questions or concerns, please do not hesitate to reach out to our customer support team at email@example.com Kind Regards