Topic: this is what every country will do - page 5. (Read 1256 times)

remove cryptocurrency and bitcoin from this news (i placed [blank] in their place) and you can see this is not new for any country. this has been going on for as long as Anti Money Laundry laws existed. the law forces businesses to report any money transfer that is higher than a certain value specially when it is a place of trading like an exchange where money keeps going in and out with large volumes.

All you have to do is stick to crypto, avoid the exchanges. Pay and be paid in crypto directly. Bitcoin cannot help you if you insist in exchanging it for fiat, thats where governments and institutions mess things.

AML is one framework that every country will have to oblige! No exceptions should be given! While I am not against the crypto circulation among the masses, but we will also have to ensure that such transactions are not helping terrorism or any other illegal activities! Bitcoin has already earned a bad reputation due to its involvement with Silk road, NZ terrorist attack and many other! It's our job to ensure that such things don't happen again! Regulation exactly means that!

If this regulation is applied in every country I think it will not be good, even though its for good but someone who will thinks about the uniqueness of crypto itself from year to year we are always free to exchange without even KYC.
Since there is KYC and the price of BTC rising news about government regulations is always at there and that IMO will not be good for this industry. Money laundering or fraud reasons that I don't think are reasonable cause money laundering and fraud often occur without using crypto as well, regulations that will make crypto equal to other assets I think we will be shackled. "Notify me if I'm wrong"

This is obviously in response to the upcoming FATF rules. The rules specify a $1,000 or €1,000 threshold which triggers stringent KYC requirements on both sender and receiver. That's why the Lithuanian regulations set a €1,000 threshold for reporting. The OP is probably correct that most countries will do the same thing in the near future.

      It seems government wants to have full control of their crypto currency to avoid some sort of fraudulent  ,money laundering and maybe to avoid misuse of it like drug syndicate and terrorist activity so this is also a good move for a government to crypto currency .
      

It's normal to impose reporting requirements if the amount seems to be high base on their standards. This happens almost everywhere as we are all using exchanges that imposes KYC if your transaction is higher than a normal user does. Take into consideration with the withdrawal limit without KYC, it isn't that much.

Lithuania is getting ready for this which is really a good news.

I'm thinking that the choice to report every transaction over the 1000 Euro threshold isn't one that's been supported by Lithuania. Based on the other statements and related legislation that they have to deal with in the EU, I'm betting that they're being coerced to do this. Likely because they would face financial penalties or sanctions against their domestic financial institutions if they didn't comply. Cryptos seem like they were included as a side thought to this anti-money laundering legislation. Of course, you have to ask yourself how effective this is actually going to end up being. Considering that you can almost make cryptos appear completely stateless during a transaction, this is probably going to hurt legitimate users more than it will hurt criminals. All they have to do is some transaction splitting, through crypto or otherwise, and they'll (probably) fly under the radar.

Being from a country that has the transaction reporting limit closer towards $10,000 rather than $1,000 (and that's cash only), I don't see how they wouldn't get swamped with excessive reports. $1,000 isn't a huge amount of money. Lots of things are starting to cost around that range and beyond (computers, phones, bikes, etc.). Cryptos can easily see a few dozen transactions worth in excess of $10,000 USD within a minute or two. I don't understand how they chose the arbitrary $1,000 limit, but it doesn't seem like a smart choice.

Hmm, I wonder if this covers your banking details so as to ensure that you have the means to carry such weight into your account? Local exchanges here (Philippines) imposed that sometime last year for accounts exceeding volumes of $10,000 monthly which, I think is also a bit off. I have received that notification after converting $10,000 worth of bitcoins to local cash and have been summoned to their HQ for some clarifications and questions. Idk why but since then, I never used the exchange, and have since moved on to P2P transactions if I want fast cash or btc.

it is good to have regulation on the market, it will help to increase security for all participants
if you use crypto because it is transparent and immutable, i do not see why it is problem to be regulated and publicly accepted

I have noticed that Lithuania has very active cryptocurrency culture, many online shops accept cryptos as payments.
Lithuania at least at the time of ICO hype was very active in doing ICOs also.

But I dont know why they want also check every transaction over 1000 Euros, it seems harsh .

I like that they are thinking of implementing rules for exchanges. My hope is that those rules will different form existing security laws.

When Bitcoin is under law it will be digital asset just like Silver which regulated by law. Silver was $80/ounce in 1980.

A very good development because fraudulent people are already taking advantage of this system and are getting away with it without notice

I think this is anticipation so that fraud and money laundering cases can be detected easily. I think it is important to provide security to every user of financial services and protect citizens.
maybe this is also part of the tax strategy, and every country has a different policy.

Lithuania is preparing new rules to govern cryptocurrency transactions, requiring businesses to prove the identity of clients, local daily news outlet Delfi reported on June 12.

As part of its obligations to impose European Union anti-money laundering (AML) regulations, Lithuania’s finance ministry will seek to completely formalize crypto-based exchange operations.

Parliament approved the move during a sitting on Wednesday, Delfi says, while a time frame remains uncertain for implementation.

Once the rules come into effect, any transactions worth over €1,000 ($1,127) involving cryptocurrency — be it into or out of fiat or from one cryptocurrency to another — will face stringent reporting requirements.

Exchanges or similar businesses will have to gather identity information about the buyer, while large operations over €15,000 ($16,919) will oblige them to inform Lithuania’s Financial Crime Investigation Service.

https://cointelegraph.com/news/lithuania-to-regulate-cryptocurrency-exchange-sector-with-obligatory-id-checks