Today, representatives from theBitcoin Foundation are scheduled to meet with members of at least seven executive agencies in Washington. Regulators are attempting to understand where to begin with a digital currency that is not backed by a central government like traditional fiat currencies. The main concerns of regulators are to ensure that Bitcoin and other digital, decentralized currencies are not used for illegal activities such as drug purchases or money laundering. Patrick Murck along with additional representatives from the Bitcoin Foundation hope to alleviate concerns of regulators and answer any questions to be able to move forward in a safe regulatory environment.
TheWall Street Journal highlighted the desire for the Bitcoin Foundation and some Bitcoin companies to comply with certain laws. The Bitcoin Foundation and many members of the Bitcoin community would prefer transparency should regulations be put in place. As Bitcoin is a growing cryptocurrency, the Bitcoin community needs an understanding of any existing regulations and plans for regulations.
The main purpose of today’s Washington, DC meetings will be for representatives from the Bitcoin Foundation to highlight how useful and applicable to businesses and individuals around the world Bitcoin has become. Yet, Bitcoin Foundation representatives will also stress that the US will not be able to benefit fully from Bitcoin should regulators crack down with excess regulations. Bitcoin startups will not be able to thrive and survive in the US should regulations be piled on without consideration of the impact on Bitcoin growth and development and the merits of Bitcoin.
With the Bitcoin economy at over$1.4 Billion, US regulators have the potential to learn more about Bitcoin prior to pressing for constricting regulations to permit the Bitcoin community to continue to flourish and also allow the US to truly benefit economically from the increased growth of Bitcoin in the US and around the world. Whereas the Bitcoin community as a whole would prefer limited interaction with government, the opportunity to educate on the merits of Bitcoin has arisen. One can only hope that after today’s meetings, regulators will have a better understanding of the currency and will be slow to act and implement onerous regulations.