Many cryptocurrency enthusiasts argue that Bitcoin and other digital currencies are beyond the law’s reach, and that instead “code is law.” Recent headlines make clear this is not true—Facebook’s Libra project faces U.S. Congressional hearings and pushback from other governments, the New York Attorney General Office’s investigation into Bitfinex and Tether, the bankruptcy of Canadian exchange QuadrigaCX and discovery that its CEO abused customer funds, and more stories of crypto actors running into the law. While other cryptocurrency camps resist government, I and other Bitcoin SV (BSV) supporters welcome responsible regulation. We know it’s necessary to protect consumers, win institutional investment, earn enterprise confidence, and help grow blockchain technology. That’s why BSV, as it restores Bitcoin’s original Satoshi Vision, is building a regulation-friendly ecosystem.
Bitcoin’s blockchain is an immutable ledger of transactions and data. While its system provides pseudonymity to users, the ledger is transparent and auditable. That’s because Bitcoin was designed to create more honesty in government, businesses and money. (Read the Bitcoin white paper and you’ll see it uses the word “honest” 15 times.) Bitcoin was intended to bring more light, not darkness, to the world. Unfortunately, its early commercial uses—such as the Silk Road marketplace—fostered criminal activity. And many early crypto enthusiasts have an anti-establishment, even crypto-anarchist, mindset and advanced the false idea that Bitcoin was anti-government.
I have a healthy respect for law. I’m a former 21+ year lawyer in the U.S., having helped big corporates and tech start-ups navigate legal compliance as they conducted business on the Internet and other digital platforms. My legal career helps me understand the practical challenges companies confront when regulation is uncertain for frontier environments—such as Bitcoin and cryptocurrency face now. This is why I know Bitcoin’s industry will grow by working with,