A draft proposal is prepared by three political parties, which are the FPD, the Alliance 90/The Greens, and The SPD.
Three political parties of Germany have proposed to issue regulations on cryptocurrencies and the blockchain industry. Social Democratic Party (SPD) has published a document on its website. According to the document the proposal request a strict regulation on crypto-assets by all European Union institutions.
Together with the Free Democratic Party (FPD) and the Greens, the SPD state that “a Comprehensive Digital Awakening” is needed in Germany. The document comes after several parties have performed campaigns ahead of the elections.
“The EU supervisory authorities should not only take care of the traditional financial sector but also prevent the misuse of crypto assets for money laundering and terrorist financing,” the agreement outlined. “We are aware of the fact that a digital awakening that safeguards our values, digital sovereignty, and a strong technology base can only succeed in a progressive European framework,” the document added in regards to the ‘digital awakening.’
An optimistic approach to blockchain
Nevertheless, the coalition has a good view of the recent developments of blockchain technology. It is noted that investments in artificial intelligence and other distributed ledger technology (DLT) could be encouraged in a future government.
“Building on the measures taken in the last legislative period, we will do everything we can to prevent abusive dividend arbitrage transactions. To ensure this [system] is fraud-proof, we want new technical options, e.g. blockchain, to be used even more,” the three political parties commented in the document.
Furthermore, the proposal could be aligned with the statement of Mark Branson, the new Head of Federal Financial Supervisory Authority (BaFin). He stated that he will pursue an agenda to encourage supervision amid critiques. BaFin’s reputation came under scrutiny after Wirecard that is a major payments company went bankrupt last year. Such debates had a significant impact on the election campaign of German Finance Minister Olaf Scholz.
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