Luxembourg Opens Dialogue with Bitcoin Businesses in New Statement

The Commission de Surveillance du Secteur Financier (CSSF), the government body responsible for financial regulation in Luxembourg, has issued a release detailing its treatment of digital currencies as well as its expectations for bitcoin businesses.

Issued on 14 February, the communique included familiar consumer protection warnings, but also featured a unique invitation for interested entrepreneurs.

The CSSF encouraged these individuals to contact its officials about facilitating digital currency-related commerce in the country as a first step toward entering the market, and suggested Luxembourg will operate on a case-by-case basis with its decisions.

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March 11, 2014 at 10:20PM

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NYDFS ISSUES PUBLIC ORDER ON VIRTUAL CURRENCY EXCHANGES

matthew.anderson@dfs.ny.gov

NYDFS ISSUES PUBLIC ORDER ON VIRTUAL CURRENCY EXCHANGES

In light of the demonstrated need for stronger oversight of virtual currency firms and other recent developments, Benjamin M. Lawsky, Superintendent of Financial Services, today issued a public order that the New York State Department of Financial Services (NYDFS) will consider formal proposals and applications in connection with the establishment of regulated virtual currency exchanges operating in New York.

Superintendent Lawsky said: “The recent problems at Mt. Gox and other firms further demonstrate the urgent need for stronger oversight of virtual currency exchanges, including robust standards for consumer protection, cyber security, and anti-money laundering compliance. We will continue to proceed swiftly and thoughtfully to provide rules of the road for reputable virtual currency firms seeking to conduct business on-shore in a responsible manner.”

Firms may immediately submit formal proposals and applications to operate virtual currency exchanges in order to help expedite the process of putting in place greater oversight for this industry. Such proposals and applications represent the formal commencement of a regulatory process, and may be modified by the firm through discussions with NYDFS to help ensure that they include robust consumer, cyber security, and anti-money laundering protections.

Approved applications will ultimately be required to adhere to the proposed regulatory framework NYDFS puts forward for virtual currency firms operating in New York. NYDFS is also providing notice today that it intends to propose that regulatory framework no later than the end of the second quarter of 2014. Given that proposals and applications for virtual currency exchanges often take time for firms to develop, today’s public order clarifies that NYDFS will consider such proposals and applications.

Today’s public order is the next phase in NYDFS’s public inquiry into the appropriate regulatory guardrails for virtual currency firms. NYDFS is continuing to work on regulations – including a specially tailored “BitLicense” – for virtual currency firms operating in New York. NYDFS is also expected in the near future to consider proposals and applications for other types of virtual currency firms beyond exchanges.

Superintendent Lawsky said: “Consumers should understand and receive appropriate disclosures about the potential risks associated with using virtual currencies or any other financial product, but the fact is that virtual currencies are unlikely to disappear entirely. They will likely continue to exist in one form or another. As such, turning a blind eye and failing to put in place guardrails for virtual currency firms while consumers use that product is simply not a tenable strategy for regulators. Our overarching goal is to balance creating appropriate regulatory protections without stifling beneficial innovation in the development of new payments platforms.”

To view a copy of the order, please visit, http://ift.tt/1kfv881

March 11, 2014 at 05:55PM

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New York Now Accepting Applications for Digital Currency Exchanges

New York’s Superintendent of Financial Services, Benjamin M. Lawsky, has issued a public order that confirms the state is now accepting applications for digital currency exchanges.

Perhaps most notably, however, was that Lawsky indicated that these new businesses will be regulated under new New York regulation, which he committed to having in place by the end of the second quarter of 2014.

In his remarks, Lawsky struck his usual balance of at once recognizing the promise of digital currencies and stressing that related business activities need to be conducted in a responsible and lawful manner.

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March 11, 2014 at 06:26PM

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US Securities Regulator FINRA Warns of Bitcoin’s Investment Risks

The Financial Industry Regulatory Authority (FINRA), the largest independent regulator in the US, issued an investor alert about bitcoin on 11th March, calling the digital currency “more than a bit risky” as part of a new warning to consumers and investors.

FINRA said the alert aims to raise awareness about the downsides of bitcoin investments in light of the recent high-profile struggles of bitcoin business.

Read the release:

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March 11, 2014 at 04:57PM

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MultiBit Bitcoin Wallet Leapfrogs Coinbase to Reach 1.5 Million Downloads

Bitcoin wallet provider MultiBit has passed an important milestone – its one millionth download.

In fact, since nobody was actually keeping track, their one-million milestone came and went without anyone noticing and the current figure is much higher.

When the MultiBit team was recently asked how many downloads had occurred since launch, they crunched a few numbers to reveal that the wallet had in fact been downloaded a total of 1,517,000 times since April 2011.

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March 11, 2014 at 03:21PM

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DC Veterans Jim Harper and Amy Weiss Join Bitcoin Foundation

The Bitcoin Foundation has added two new high-profile members and experienced political operators to its team: Jim Harper and Amy Weiss.

Harper has been director of information policy studies for the libertarian Cato Institute for almost a decade, while Weiss is a former White House Deputy Press Secretary. She currently runs strategic communications firm Weiss Public Affairs.

Jim Harper will be the foundation’s new Global Policy Counsel and he will work to identify political impediments to bitcoin adoption. Harper has plenty of experience in the field, as he served as counsel to various committees in the US House of Representatives and the Senate.

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March 11, 2014 at 01:00PM

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Activist Takes Old-School Approach to Bitcoin Promotion

There are plenty of videos and infographics online explaining what bitcoin is and how it works, but now, a bitcoin activist in the US is planning an old school approach to promoting it. Activist bitcoin-focused marketing agency Bitcoin Bigfoot plans to distribute 100,000 promotional packs to activists around the country. But why?

Paper wallets aside, bitcoin is an aggressively digital phenomenon. Coins are mined, not printed, and they are spent only by sending transactions across the decentralised electronic network. Yet Curtis Fenimore, who together with colleague Jake Tital founded Bitcoin Bigfoot this year, wants to engage new users using a trifold brochure.

“The Internet has a huge reach, but it still doesn’t reach everything,” Fenimore says. “There’s still very much a need for face to face communication and physical promotional materials. YouTube videos alone can’t do it. If that was the cue, adoption would be beyond the roof.”

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March 11, 2014 at 05:34AM

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French Finance Minister Calls for EU Action on Bitcoin Regulation

France’s Minister of Economy and Finance, Pierre Moscovici, issued a call on 4th March for European regulators to collaborate on digital currency regulation as part of an effort to ease the concerns of financial institutions and policymakers.

In statements to the press, Moscovici has indicated he intends to request that EU member states discuss the matter at the EU Economic and Financial Affairs Council (ECOFIN), the organisation that sets the EU budget and monitors the financial markets in member states.

Said Moscovici:

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March 10, 2014 at 08:34PM

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CoinSummit San Francisco

San Francisco’s CoinSummit is less than a month away. This is a two day event connecting virtual currency entrepreneurs, angel and VC investors, hedge fund professionals and others looking to learn and network in the virtual currency industry.

The event is shaping up to be one of the best, certainly in North America, and perhaps globally. CoinSummit is both proud and humbled to have Marc Andreessen of Andreessen-Horowitz as the keynote speaker.

They have also announced that they will host Jackson Palmer. He is probably best know as the co-founder of Dogecoin. Mr. Palmer will be making his first public speaking appearance at the conference. Much wow!

The speakers list reads like a who’s who of technology glitterati, including Roger Ver, Nicolas Cary, Chris Larsen, Nejc Kodric, Vitalik Buterin, Patrick Murck, Angel investor Ben Davenport, Ribbit Capital’s Micky Malka and Nick Shalek, Naval Ravikant, and Jeremy Liew.

There will be several others representing the investment community, among other heavy hitters from Silicon Valley.

What we are seeing at the moment is an explosion of startup activity in the digital and crypto currency space. This is expected to continue. It is very exciting and CoinSummit hopes to capture that excitement.

New products and services will continue to come onto the market. Mixing services are one area of particular interest in this regard. No doubt this topic will come up at the event, just as it was raised at the recent NY hearings.

Mixing services seek to maintain user anonymity and privacy in a climate where much activity is focused on appeasing regulators. Security will also be a theme of the conference.

The event seeks to focus on quality and innovation. To that end possibly the most exciting part will be the The Startup Showcase. The showcase will offer 10 hand picked startups in the space the opportunity to present in front of the entire CoinSummit audience.

Interested Startups should apply here with their pitch deck. They will be selected on the basis of the size and attractiveness of the business opportunity, the strength of their team, and their traction, metrics and achievements.

The selection panel will consist of leading investors: Ben Davenport, Jimmy Furland, Pamir Gelenbe, Firat Ileri, Martin Mignot, Alex Morcos, Jez San, Nick Shalek and Santiago Subotovsky.

The deadline for applications is March 17, 2014 and the selected start-ups will be announced on March 19, 2104. Attendance for the presenting CEO/Founder of the selected start-ups will be free-of-charge.

CoinSummit is aiming to define the standard for all events globally. The mission is to bring passionate people together: entrepreneurs, investors and anyone interested in the ecosystem, in an environment conducive to cooperation and collaboration. Participants will discuss, network and make things happen.

The event will take place on the 25th and 26th of March at the Yerba Buena Center for the Arts in San Francisco.

Numbers are strictly limited, so there is an application process. Early Bird prices are US$500 for pre-series A Entrepreneurs and US$1500 for all others.

Apply directly here.

The post CoinSummit San Francisco appeared first on Bitcoin Magazine.

March 10, 2014 at 07:38PM

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eBay Patent Filing for Currency Exchange System Included Bitcoin

A second eBay patent application has surfaced on the US Patent and Trademark Office database – further highlighting the online marketplace’s interest in digital currencies and digital currency processing systems.

Named ‘System and Method for Managing Transactions in a Digital Marketplace’, the application follows its “gift token” patent revealed on 19th December last year. Filed in December 2011, six months before its gift token filing, this document names bitcoin specifically.

The patent details eBay’s plan to create a currency module configured to manage the exchange of digital currencies, one that might require eBay to maintain or access an exchange rate for conversion.

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March 10, 2014 at 06:28PM

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Economist Nouriel Roubini Slams Bitcoin, Calls it a ‘Ponzi Game’

“So Bitcoin isn’t a currency. It is [by the way] a Ponzi game and a conduit for criminal/illegal activities. And it isn’t safe given hacking of it.”

So said US economist Nouriel Roubini in a spate of heavily critical comments aimed at the cryptocurrency and its advocates via Twitter on Sunday (9th March).

Roubini, who lectures at the Stern School of Business and heads an economic consultancy firm, has earned himself the nickname ‘Dr Doom’ for his often gloomy economic outlooks.

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March 10, 2014 at 05:29PM

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Wikipedia’s Jimmy Wales to Discuss Bitcoin Acceptance with Board Members

Jimmy Wales, co-founder of Wikipedia, plans to discuss with the Wikimedia Foundation Board of Directors the possibility of the famous Internet encyclopaedia accepting bitcoin.

Wales has been experimenting with digital currency, recently setting up a bitcoin wallet with Coinbase and posting his wallet address on Twitter.

This is my bitcoin address: 1McNsCTN26zkBSHs9fsgUHHy8u5S1PY5q3 @Kosmatos

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March 10, 2014 at 03:46PM

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