German Central Bank: “Be Neutral on Facebook’s Libra”
By Mark Lemon – Cryptocurrency Specialist
In spite of regulatory uncertainty and possible risks, the central bank of Germany advises the government not to overlook the potential benefits of Facebook’s Libra, as reported by CoinTelegraph.
On July 22nd, a monthly bulletin known as “Crypto tokens in payment transactions and in securities settlement” was released where the Bundesbank considered every possible advantage and shortcoming of Central Bank Digital Currencies (CBDCs) and stablecoins. Bundesbank appears to be one of the few that could be for buying and selling crypto such as Libra.
Bundesbank Wishes Libra’s Regulation to be Technology-Neutral
Bundesbank states in the document that new worldwide projects like Libra must not be ignored as they hope to increase transaction and prosperity costs.
However, in order to do that, the bank believes global regulators must ensure that security and financial stability among other important standards are not negatively impacted, and those payment transactions are not affected. Anyone around the world can buy and sell Bitcoin which is why regulators should take a global approach to ensuring the security of users.
The bank also emphasised that the regulation must also not discourage innovation:
“A government should be as technology neutral as possible, so that the benefits of innovation can be made available for the financial sector.” The financial sector is heavily regulated and innovative technology is crucial for them to keep up with the demand of commercial and personal users. If regulation stifle’s technological innovation, then the user could suffer as a result which in turn could encourage them to buy and sell cryptocurrency.
The bank said that several important organisational, technical and regulatory questions regarding the Libra Association are still open, even though there is skepticism regarding its potential benefits. The bank also reiterated that global central banks and supervisory authorities should continue probing and evaluating the project.
Stablecoins and CBDC’s Can Affect Central Banks
Bundesbank, in the document, believes stablecoins and CBDCs to be two of the biggest recent developments that can have an impact on the role of global central banks.
Head on over to our platform if you’re looking to sell crypto UK or cash out Bitcoin to GBP.
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 firstname.lastname@example.org 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 email@example.com 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 firstname.lastname@example.org Kind Regards