On April 10 of 2018 an official statement from the European Commission was published stating that a total of 22 member countries signed a legal document establishing the European Blockchain Association.
The EU Blockchain Association is expected to facilitate cooperation among countries to produce technical and regulatory guidelines for FinTech. These common standards are meant to prepare for the widespread adoption of Blockchain applications across the EU in the digital single market. The Association is hoping to promote a unity between public and private sectors of the member States.
The main goal of the Association is to help Europe become a leader in the digital and financial technology markets by supporting blockchain innovations as well as artificial intelligence development.
One way the association hopes to achieve this goal is by avoiding a conflicted use of blockchain technology through the exchange of technical and normative knowledge between countries. The search for ways to promote blockchain applications within the EU countries is another of the basic principles of this partnership.
It is expected that the creation of the Association will help to create an environment in full compliance with the laws of the EU and with clear models of governance that will help the services that use blockchain to flourish throughout Europe.
Special attention is being paid to anti money laundering, creating common know your customer standards, and implementing compliance protocols. These rules will be especially relevant for firms attempting to build a new international cryptocurrency exchange.
In recent months blockchain has become a hot topic of conversation for many countries around the world. Many governments and corporations have already started using blockchain to help financial transactions become more secure and to reduce political corruption.
Blockchain has become known for its application in digital finance, but it has a great deal of potential in other areas. Blockchain technology allows sharing information online and helps record transactions in a verifiable, safe, and permanent way. The EU Blockchain Association is looking to create a regulatory framework where blockchain technology is maximized in an efficient and compliant manner.
It was also announced that the European Commission has invested more than 80 million euros in projects to develop and implement blockchain technology. It is estimated that another 300 million euros will be invested by 2020.
The news of the creation of the Blockchain Association comes after the EU promoted the launch of the Blockchain Observatory and Forum in February. A short time later, the European Commission declared that it plans to host a Fintech Lab to consolidate emerging technologies and give way to new and promising ideas involving financial technologies and Blockchain.
The list of 22 countries that are part of the EU Blockchain Association include: Austria, Belgium, United Kingdom, Sweden, Czech Republic, Estonia, Spain, Slovenia, Finland, France, Portugal, Poland, Germany, Ireland, Norway, Netherlands, Letonia, Lithuania, Luxembourg, Malta, Slovakia, and Bulgaria. Other countries of the European Union and the European Economic Area are welcome to join this association.
Switzerland is no stranger to Blockchain Associations as they were the first country to acknowledge the importance of establishing guidelines regarding Blockchain and cryptocurrencies in their own Silicon Valley (at least as they relate to KYC and AML). Crypto Valley is a major powerhouse for Switzerland and is concrete evidence that there is a market for Blockchain.
Crypto Valley is located in the center of Switzerland, in a small city called Zug. The formation of Cryptovalley has great benefits: low taxes, an economic promotion offices, and authorities that support the project. For more on Switzerland and other countries, see: Where to Start a Cryptocurrency Exchange – Crypto Friendly Countries.
Despite the uncertainty that the cryptocurrency market is currently experiencing, the advancement and the adoption of blockchain technology continues to be a major force. More continents should take a closer look at what the European Union has accomplished with the formation of the EU Blockchain Association.
I hope you’ve found this article on the EU Blockchain Association to be helpful. For more information, or for assistance starting a new international cryptocurrency exchange, please contact us at firstname.lastname@example.org or call us at (619) 550-2743. We’ll be happy to assist you to plant your flags offshore.