Virtual Currency Blog
Bitfinex was recently hacked resulting in the theft of approximately 119,756 bitcoins. In June 2016, the CFTC issued an order against Bitfinex to protect consumers and comply with law and regulations, but achieved an opposite result.
Media and governments are acting irresponsibly in tying virtual currency to recent wave of violent attacks.
The Ethereum hard fork has created two Ethereum blockchains and two forms of Ether tokens. The exchanges that have not yet distributed to their customers Ether tokens for the Ethereum Classic blockchain are already risking substantial legal consequences.
Ethereum Smart Contracts will ensure that contracts can easily be reduced to a signed writing that will satisfy the statute of frauds and reduce unnecessary litigation.
The AML Proposal, which would add virtual currency exchanges and custodial wallet providers to the existing AML framework, to “ensure increased transparency of financial transactions and of corporate entities,” requires exchanges and wallet providers to collect and monitor personal customer information as well as report suspicious transactions.
Today the Ethereum community reached a consensus and implemented a successful “hard fork” of the Ethereum blockchain, which provides for the return of funds that were previously lost as a result of the exploitation of the DAO. There will unlikely be any legal consequences resulting from the implementation of this hard fork.
EtherIndex LLC filed a Registration Statement and Prospectus with the SEC to offer an exchange traded fund based solely on the price of Ether. Actions like this continue to cement Ether’s standing in the Virtual Currency Community.
A review of virtual currency legislation in California.