The UK Treasury’s proposal in
December to regulate bitcoin under anti-money laundering (AML)
rules could have far reaching consequences for how it the
currency is traded and on its value.
Concerns about the purposes of bitcoin
trading has led both the UK and the EU to plan new legislation
that would create new regulatory oversight. The EU plans to
require investors to disclose their identities, and online
platforms to carry out due diligence on customers and report
any suspicious transactions. The UK government also wants the
EU to amend the 2017 AML Directive so that it has the authority
to oversee any activity from crypto exchanges.
Bitcoin has attracted widespread attention after its value
increased tenfold in the past 12 months, but has also been
heavily criticised as an uncertain investment. Blackrock chief
executive Larry Fink said in October that bitcoin just shows
'how much demand for money laundering there is in the...