Do crypto asset/account managers need licenses too?

Jarijah

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Quote from: kujaroth on July 26, 2018, 11:08:48 PM

It is possible. Maybe when the whole world accepts crypto and it became a big part of the economy or the in the service trading systems that it would managers to keep track all those transactions.

I understand your point, but I think it's more to filter out the scammers ... or higher the threshold for them to scam ... how can you trust someone on face value? Do you ask for track records? or past performances? if so how much security do you have that they will not run away with your money this time?

kujaroth

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It is possible. Maybe when the whole world accepts crypto and it became a big part of the economy or the in the service trading systems that it would managers to keep track all those transactions.

Jarijah

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The reason I'm raising this issue is that asset management in itself is a service, that has to do with managing things of value with the intention to add value. In what market you use to make that value grow, is it really any different? Whether you trade futures, forex or crypto?

Now comes the next part of my dilemma ... what checklist do you use to do your due diligence on an account/asset manager?
I am asking this because someone approached a friend of mine to invest and for him to manage an amount (crypto margin trading).

Indamuck

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Quote from: Jarijah on July 26, 2018, 11:18:39 AM

People who offer to manage funds for other people usually need to have licenses from certain regulatory bodies (well in forex trading they do).
Does this apply for crypto as well?

As far as I know there is nothing really required in terms of licenses or certifications to manage crypto for other people. If you were handing stocks and other investments it would be completely different.

Crypto is still very young and its still the Wild West with very little regulation or laws. Governments will start to clamp down harder in the future but for the time being your free to do almost anything.

darthmaul

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Quote from: Jarijah on July 26, 2018, 11:18:39 AM

People who offer to manage funds for other people usually need to have licenses from certain regulatory bodies (well in forex trading they do).
Does this apply for crypto as well?

Crypto currencies are different. They dont need any licensing as long as it is stated in their law books! There is no such thing as fund manager here because it is open source and you are on your own. I mean there might be people who are doing the broker stuff but none of them will ever need licensing and regulatory approvals because it is itself not regulated environment. My take on this topic is simple, assets that are found in the crypto space are completely disconnected from the real world and thus none of the jurisdiction applies here as long as they are online.

milewilda

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Quote from: ss890 on July 26, 2018, 01:39:23 PM

I don't think there is anything like hat in the crypto. This industry is at the stage where laws and regulations are still struggling to accept them. The industry is completely running over the free/decentralised blockchain and thus gets most out of the public ledgers.

Whats the meaning of all this? Well, basically you can do whatever you want here, do it your way or the other way. There is no need of licenses and stuff and no one will ever ask you what you owe and how.

Max to max the licensing applies to the whole exchanger but not the individual trader or manger.

When we do compare crypto to forex then these are the things which do really make them different where a centralized things over decentralized stuff and as you said here on crypto, laws and regulations isnt still present on major aspect which means there would be still no legal involvement about these asset/account managers where you wont really need a license to be one and anyone can really be a fund manager but the question is, who will entrust funds to you? This would be more on trust aspect.

ss890

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I don't think there is anything like hat in the crypto. This industry is at the stage where laws and regulations are still struggling to accept them. The industry is completely running over the free/decentralised blockchain and thus gets most out of the public ledgers.

Whats the meaning of all this? Well, basically you can do whatever you want here, do it your way or the other way. There is no need of licenses and stuff and no one will ever ask you what you owe and how.

Max to max the licensing applies to the whole exchanger but not the individual trader or manger.

Tactical Genius

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Leading Cryptocurrency and Blockchain Company

This basically depends on the jurisdiction.There are some jurisdictions which require licenses for such ventures whilst others don't or are yet to implement laws requiring such licenses and don't forget the cryptospace is relatively new and so is gradually getting the attention of authorities who will then decide on the type of regulations and eventually the need for licenses on the various facets of crypto trading and usage.

Jarijah

newbie

Activity: 42

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People who offer to manage funds for other people usually need to have licenses from certain regulatory bodies (well in forex trading they do).
Does this apply for crypto as well?

Topic: Do crypto asset/account managers need licenses too? (Read 135 times)