From January to December 2020 – How have crypto-regulations evolved this year?
2020 will always be known as the year the COVID-19 pandemic reshaped the way we as humans function and interact with the world. For most in the crypto-community, however, this was also the year the world realized the true potential of cryptocurrencies. With stock markets and crypto-market alike being hit by a dramatic fall in demand and supply, recovery took a long time for the former. However, not for crypto.
The world’s oldest and largest cryptocurrency, Bitcoin, bounced back from the aforementioned drop. As Bitcoin’s recovery gained momentum, along with Gold, the discussion around it being “digital gold” and a store of value once again gained steam. However, this time around, the discussion was being held on mainstream platforms. While the mainstream media was discussing Bitcoin and its value, Google trends indicated that ‘Bitcoin’ search also spiked in 2020 and reached a peak[1] when the asset’s value topped on the charts.
With the world now seeing Bitcoin and cryptocurrencies in a new light, let’s have a look at how different countries have reacted, in terms of regulations, in 2020.
China
Blockchain rules in China, but cryptocurrency has been kept at an arm’s length for now.
China has been among the very few countries that have begun researching and understanding the potential of cryptocurrencies. However, it soon realized that the only means a cryptocurrency can flourish in the country is through a state-sanctioned and controlled method.
As noted by a post[2] in the Library of Congress,
“China does not recognize cryptocurrencies as legal tender and the banking system is not accepting cryptocurrencies or providing relevant services.”
2020 saw China cracking down on various crypto-exchanges. For instance, OKEx, a prominent cryptocurrency exchange, was under
