The Irish Department of Finance has discussed the formation of a blockchain council to coordinate regulations within the different governmental organizations, according to Coindesk.
As explained in a document released by the department called “Virtual Currencies And Blockchain Technology,” the Department of Finance will be taking action concerning cryptocurrencies in order to achieve the following objectives:
- To provide clarity to consumers with regards to the
levels of protection available to them when
transacting with virtual currencies.
- To present transparency to consumers, investorsand businesses as to their tax obligations.
- To deliver to entrepreneurs and start-ups an
unambiguous regulatory framework, and thus
promote innovation and growth.
- To align with developing international policies.
- To reduce illicit activities such as terrorist financing.
- To align with Ireland’s IFS2020 Strategy to foster
opportunities in international financial services by
building on the country’s strengths in technology,
research and financial services.
- To equip Ireland with a differentiating competitive
advantage in securing foreign direct investment in
DLT companies and ventures.
The report encourages lawmakers to let people know what protections they have when purchasing or transacting cryptocurrencies and give companies a clear regulative framework.
The council will also ensure to”equip Ireland with a differentiating competitive advantage in securing foreign direct investment” in blockchain-related projects.
The document takes the time to warn the public about potential criminal activities made possible by cryptocurrencies and about the volatility of the market. The attitude of the statement remains positive, stating that most cryptocurrency investors do it while respecting the law.
“Although criminality associated with virtual currencies represents a risk to governments, there is evidence to suggest that the majority of virtual currencies are purchased by investors and legitimate owners.”
The statement also discusses the gain in efficiency and reliability that the financial institutions and financial industry as a whole could benefit from, if they would use blockchain.