Draft law for blockchain bond does not yet exist
Germany threatens to be left behind
Nine months have passed since the federal government adopted its blockchain strategy. The declared goal of this is to use the “potential of the still young blockchain technology” and to further consolidate Germany as an innovative location for the new technology, as Federal Minister of Economics Peter Altmaier is given in a press release.
Electronic securities as an opportunity
As the “first measure to be implemented as part of the blockchain strategy”, a key point paper was published in March 2019 by the Ministry of Finance and Justice, in which, among other things, the Federal Government’s objective of how German law can be opened for electronic securities was discussed. Ultimately, blockchain technology would have many advantages over the conventional issue of securities. For example, crypto-securities could do without the “mandatory documentary embodiment of securities”. – Trade Bitcoin with Plus 500 – how it works. 80.5% of retail CFD accounts lose money. – Even if the application could also be used for shares in the long term, the focus should initially be on electronic ones Debentures lie. The idea of the blockchain bond was thus launched.
Implementation is a long time coming
Since then, however, there has been a standstill with regard to a specific draft law required to implement the strategy. A disappointment for all those crypto fans who Germany’s next steps towards digitalization have been looking forward to. While it was initially the declared aim of the federal government to pass the blockchain bond law in 2019, it was due to a parliamentary question that the Handelsblatt could see that this matter should be dealt with “in this legislative period” . A precise timetable “has not yet been determined”. The reason for the delay is the “civil law concept for the transfer of electronic securities”. Further advice is needed here. So the step towards the crypto industry seems to be moving further into the distance.
Germany is threatening to fall behind in future-oriented technology, the Blockchain Bundesverband warned. As Florian Gatz, president of the Reuters association, quotes, Germany is “in a race between legal systems and economic forces”. In order to help the government implement its strategy, the association published an action paper in March with various suggestions, which was met with great interest. Nevertheless, there has been no news from the federal government regarding the crypto bond since then.
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The EU is taking up the issue
And while Germany is still standing still, blockchain is making progress at the European level. Because while regulation of crypto assets across the EU used to consist of a patchwork of national initiatives, a European legal framework should now provide more clarity. In contrast to the developments in Germany, a schedule for implementation is already set here. By the end of 2020, at the latest by the end of 2021, the European financial market regulation is to be changed so that blockchain technology and crypto assets have been integrated.
The Federal Government therefore needs to act quickly.
Editorial office Forex-news.com.net
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