Hogwash, imho: "they (cryptocurrencies) suffer from a lack of regulation, security and capital requirements that currently apply to other payment services providers".
Cryptocurrencies do not suffer from the lack of those things - rather, the absence of those things is one of their central strengths. In fiat-world, the "capital requirements" meme is, among other things, a barrier to competitive entry, a false assurance to assuage depositor fear, and a cover for over-leveraged fractional reserve practices. The regulations in place never stop the economic collapse of the moment, but the regulators' reaction is always "more regulations needed - trust us". Security of the blockchain is generally undisputed, but security in fiat-world is notoriously brittle. (Would you agree, JP Morgan Chase?). Rules exist for a reason that serves the needs of the rulers. Those on top of the fiat hill will inevitably want crypto to follow fiat rules as a starting point - it would serve their needs.
Theater for the gullible, imho: "In his response, which leaked to media ahead of his second hearing..." Chances are that he misspoke in his prepared "leaked" document (press release) - cryptocurrencies are not payment services providers, and he probably meant "the exchanges" or some such phrase rather than "cryptocurrencies", but the intent is obvious, regardless. He and others like him believe they know what is best for crypto better than the crypto community does - and they rely on the public to forget their track record in fiat. Meddlers gotta meddle.
The regulators are coming! The regulators are coming!
Topic: [2014-10-07] CD: European Commissioner-Designate to Discuss Bitcoin at EU Hearin (Read 806 times)
October 07, 2014, 11:26:06 AM
October 07, 2014, 10:21:39 AM
European Commissioner-Designate to Discuss Bitcoin at EU Hearing
The European Parliament is set to quiz several nominees for European Commission posts this week, including Britain’s Lord Jonathan Hill, who is scheduled to appear before parliament today. Notably, Lord Hill is expected to discuss digital currencies during his appearance.
...
In his response, which leaked to media ahead of his second hearing, Lord Hill points out that bitcoin is just one of more than 200 virtual currencies and indicates his belief that there is a need to find a balance between safety and innovation.
Cryptocurrencies can often bring “faster and cheaper” means of payments than traditional bank transfers, he says, but they suffer from a lack of regulation, security and capital requirements that currently apply to other payment services providers, thus creating prudential risks.
http://www.coindesk.com/european-commissioner-designate-discuss-bitcoin-eu-hearing/
sounds "okay"
The European Parliament is set to quiz several nominees for European Commission posts this week, including Britain’s Lord Jonathan Hill, who is scheduled to appear before parliament today. Notably, Lord Hill is expected to discuss digital currencies during his appearance.
...
In his response, which leaked to media ahead of his second hearing, Lord Hill points out that bitcoin is just one of more than 200 virtual currencies and indicates his belief that there is a need to find a balance between safety and innovation.
Cryptocurrencies can often bring “faster and cheaper” means of payments than traditional bank transfers, he says, but they suffer from a lack of regulation, security and capital requirements that currently apply to other payment services providers, thus creating prudential risks.
http://www.coindesk.com/european-commissioner-designate-discuss-bitcoin-eu-hearing/
sounds "okay"
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