Regulation is an important part of what’s happening in the world of crypto.

We are too far from being experts on regulation, so we curated some information from dappradar about the latest crypto regulations in various major countries.

‍You can find dappradar’s full post here.

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United States

• 16 Sep, 2022: The U.S government released its first new Crypto regulatory framework. With a clear focus on seizing the advantages of crypto while addressing its risks and with a potential CBDC on the horizon.

• July 26, 2022 – US senators Pat Toomey and Kyrsten Sinema introduced a new bipartisan bill, “Virtual Currency Tax Fairness Act,” to simplify the use of digital assets for everyday purchases. It proposes tax exemptions for personal crypto transactions that give a capital gain of less than $50 or that are under $50 as well. This bill has the support of the senators who introduced the previous $200 bill.
• July 9, 2022 – The United States Treasury delivered president Biden a framework, as directed in Executive Order, for the US and its foreign allies (G7 and G20 countries) to collaborate to create international standards for crypto regulation.
• June 8th, 2022 – New York legislators issue a guideline for stablecoins indicating that all stablecoins must be fully backed. All stablecoin issuers must have clear redemption and backing of dollar-pegged stablecoins.
• June 7th, 2022 – Senators Lummis and Gillibrand introduced the “Responsible Financial Innovation Act” seeking to act as a new federal law for stablecoins exempting these digital assets from taxes for small-scale payments under $200. Stablecoins play an essential role in the DeFi ecosystem.
• June 3rd, 2022 – New York legislators passed a bill addressing environmental concerns and banning crypto mining that is carbon-based. Bitcoin uses Proof Of Work; an energy-demanding software algorithm that requires computational power.

United Kingdom

• July 28, 2022 – UK’s law commission published proposals to reform laws relating to digital assets, NFTs and other digital tokens, to maximize their potential in the country.    

• May 31, 2022- The HM Treasury has opened a consultation on managing the failure of systemic digital settlement asset firms, including stablecoin firms. The month of May marks the official bear market this year after Terra’s stablecoin (UST) fell apart, prompting many regulators worldwide to take a closer look at crypto.
• January 18, 2022 – The UK government and the FCA publish complementary reform proposals to bring financial promotions for some “qualifying crypto-assets” into HM Treasury’s financial promotions regime and the FCA financial promotions rules.
• June 28, 2021- The FCA bans Binance from operating in the U.K.
  
  The U.K aims to become a crypto hub by having clear regulations in place and preventing potential criminal activity while simultaneously promoting innovation.

China

• July 10, 2022 – Changes to Hong Kong’s Anti-Money Laundering (AML) law adapts licensing regime regulation for crypto service providers. Virtual asset service providers (VASPs) are now expected to be regulated to the same standard as institutional clients.

• January 20, 2022 – The Hong Kong Monetary Authority (HKMA) issued two papers: one on stablecoins and another on crypto-related exchange-traded funds. Bitcoin is defined as a virtual commodity and not a legal tender. There are no capital gains taxes and AML/CFT laws apply to every individual or business in Hong Kong.
• April 13, 2022 –  China’s banking, securities, internet, and financial associations determined that NFTs must not be used for securitization or transacted in cryptocurrencies. The legislation makes it harder to trade NFTs.

European Union

• June 30, 2022 –  A provisional new deal has been struck between Parliament and Council seeking consumer protection, and a uniform legal framework for crypto in the EU. MiCA (Markets in Crypto Assets) will cover crypto-assets that are not regulated by the existing financial services legislation. ESMA (European Securities and Markets Authority) will provide guidelines in this respect.
  
  The new regulations will subject stablecoins to strict operating rules, with restrictions on whether they are widely used as payment and a cap of €200 million in transactions per day.

India

• 19 July 2022 – India’s finance minister Nirmala Sitharaman has informed parliament that the Central Bank wants cryptocurrencies to be prohibited in the country. She also added that cryptos “require international collaboration to prevent regulatory arbitrage.”

• 1 Feb 2022: Indian regulators announce a 30% tax on any income derived from crypto transactions and another tax of 1% at source on all transactions (TDS). Moreover, the government also announces plans on creating its digital rupee controlled by the Indian Central bank before April 2023.

Russia

• July 27, 2022: Authorities in Russia are preparing legislative amendments that will regulate NFTs, legally defining transactions with digital collectibles.
  

• July 15, 2022: Russian President Vladimir Putin signed a new law that prohibits payments with digital assets in the country.
• June 16, 2022 – Elvira Nabiullina, Russia´s central bank governor hints at the idea of cryptocurrencies as payments but only internationally and not inside of the country.
• June 15, 2022 – The Russian government has created a separate tax procedure for digital assets to remain competitive and outweigh the sanctions imposed by the West after the Ukraine invasion. The sale of digital assets is exempt from value-added tax (VAT) in the Russian Federation.
• June 15, 2022 –  A bill swiftly passed the lower Chamber of Russian Parliament. The bill seeks to prohibit using “digital financial actives” (DFAs) to pay for goods or services.
• February 21, 2022 – The Ministry of Finance formally introduces a draft of the federal law “On digital currency” to the government. The proposed law is more crypto-friendly than the formal stance of the Central Bank.
  
  It aims to set a licensing regime for exchanges and requires risk management, data privacy, and reporting measures that such operators would have to comply with. Purchasing and selling crypto legally would only be possible via a bank account, and it is proposed that both crypto platforms and banks introduce Know Your Client procedures (KYC).