Companies and regulators must ensure that NFTs are not a tool used for money laundering. They consider that regulators care about the money spent in the metaverse.

Games with roots in blockchain and non-fungible tokens (NFTs) have been successful throughout 2021. One of the issues that concern the most this industry is regulations. Regulation is a subject that got debated during the sixth edition of the virtual event European Blockchain Convention.

Rudy Koch, the co-founder of Mythical Games and one of the convention panellists, highlighted that many topics have not been under discussion about the regulatory aspect of the NFT and video game industry.

Koch said he was involved in the Mythical Games use case presentation to 50 state regulators in the United States of America and the European Union. He said they are concerned about the money transmission licenses and all the regulations and compliance that revolve around that.

In that sense, Koch stated that regulatory agencies are there to protect consumers, but protecting companies is also essential, something the panellists agreed on.

Koch also explained the situation using properties in video games or metaverses as an example. He said that: If people want to lean on ownership, and if they acquire an item, they can do whatever they want with the said item, mainly because that item is theirs.

That is why people believe that if someone gets scammed, they may blame Web3. Although he also recognized that regulations are evolving and are in constant movement.

Laws in the United States of America Need a Radical Change

 Sarutobi Sasuke also joined the discussion. He rules as an executive in one company behind the popular game Axie Infinity. He indicated that the US Securities Law needs reform.

“It’s going to be difficult for them [US]. Stop because there is still this mechanism whereby offshore entities can serve to issue tokens and this kind of separation from their corporate structures to try to circumvent regulations. They only wonder how the regulatory entities would get into what happens in the metaverse.

In Sasuke’s view, regulators are worried that the industry should pay taxes on the revenue they earn in the metaverse. Sasuke highlighted that governments already know that people are spending more and more time in virtual worlds, so they’re going to want to get a piece of that huge pie at some point.

The executive even asked, “How is revenue regulated in the metaverse? Or How do regulations tax in-game items?” He jokingly replied that perhaps regulatory agencies should open an office in Decentraland [Ethereum-based entertainment metaverse] to do that job.

Sasuke’s position comes from the number of companies that have entered to take part in the metaverse and have acquired virtual properties for millions of dollars and do not pay taxes for them. Tokens.com Corp purchased the largest tract of land in Decentraland for at least USD 2.8 million.

By: Jenson Nuñez

The IMF chief economist opposes the cryptocurrency ban and wants the sector to be regulated.

The chief economist of the International Monetary Fund, Gita Gopinath, expressed her opposition to the blanket ban on cryptocurrencies but instead wants the sector to get its proper regulation.

In this regard, Gopinath has called for the immediate enactment of standard global policies to regulate digital assets, reports Business Today.

At an event organized by the National Council for Applied Economic Research (NCAER), Gopinath highlighted that cryptocurrencies are a challenge for new markets and that strict regulation is the need of the moment. She called for an urgent global policy on the issue.

The representative stressed that developing economies should regulate cryptocurrencies rather than ban them. Gopinath, however, added that there are practical downsides to banning digital currencies, given their decentralized nature.

The official explained that regulating crypto assets and cryptocurrencies is essential, especially for emerging and developing economies. The ban may not work as crypto exchanges get located abroad, making it easier for an individual to exchange them despite the ban.

Union of Countries

The official claimed that no single country could solve this problem on its own, considering the complicated cross-border transactions.

Gopinath added that Cryptocurrencies pose problems, as emerging developing economies often have exchange rate controls, capital controls, and capital flow measures.  Crypto assets can serve as tools to evade those regulations.

For her, cryptocurrencies require the revision of most laws, especially those related to foreign transactions. Gopinath will take over as the IMF’s first deputy managing director on January 21, 2022.

Gopinath was the author of an IMF article at the beginning of the pandemic, where she stated that the economic crisis would be the worst after the Great Depression of 1929. She titled the situation with a very appropriate name: “The Great Confinement,” since this has been the measure taken in almost all countries.

IMF and its Crypto Policies

Gopinath’s words precede a series of guidelines released by the IMF this week on a proposed framework for making a global crypto regulation standard.

Before that, the IMF has insisted on the need to set rules for the crypto market. To do this, the IMF has been meeting with the World Bank, the Bank for International Settlements, and the Group of 20 to establish common official standards.

The IMF looks at how cryptocurrencies should get regulated. The global regulatory framework should provide a level playing field across the spectrum of activities and risks, the authors stated, listing three elements that should get included.

Crypto service providers, including those that offer storage, transfer, settlement, and custody of reserves and assets, must be licensed or authorized.

The publication adds: “The requirements must get adapted to the main use cases of crypto assets and stable coins.” In addition, regulators “must coordinate to address the various risks arising from different and changing uses,” including central banks and securities regulators.

Authorities must provide clear requirements to regulated financial institutions regarding their exposure and commitment to cryptocurrencies.” Likewise, the IMF has been one of the most critical organizations of El Salvador after that country converted Bitcoin into legal tender.

By: Jenson Nuñez

Harper said citizens could use crypto assets to preserve the value of their money, referring to the advantages of Bitcoin against centralization. The US Senate candidate learned about cryptocurrencies while being part of the Consumer Financial Protection Bureau.

Thirty-eight-year-old US Senate candidate Morgan Harper recently expressed an opinion in favor of Bitcoin and other cryptocurrencies. She said that the pioneering cryptocurrency would give advantages to the citizens of Ohio, the state where she is running for office.

The politician talked about how Bitcoin can help people use their money without third parties like banks. She seems to support including them as a payment method within the economy.

Decentralization Processes Enter the Economic System

A growing number of government officials are aware of the relevance of cryptocurrencies in the economy worldwide. The candidate for the US Senate endorses the inclusion of the benefits of Bitcoin and other cryptocurrencies in the law.

Harper thinks that it is sensible to use those assets in a scenario where citizens can preserve the value of their money. She referred to the advantages of Bitcoin against the centralization that a few personalities in the economy have generated.

She highlighted that Bitcoin allows individuals to have more freedom to choose where to keep their money. She thinks that traditional finance places power in the hands of a few people and keeps it away from the others.

In that regard, she commented that the concept of decentralized networks intrigues her since everybody can benefit from them. In contrast to centralized platforms, the former does not concentrate power in the hands of a few people or corporations.

She also referred to those corporations as entities that hinder the economic growth of individuals. She said that decentralization processes stifle growth and innovation in a system rigged in their favor.

The Path to the Senate Is Long for Harper

The way is long for Morgan Harper to gain a seat in the US Senate. The candidate must first go through the Democratic party primary against Congressman Tim Ryan, who seems to lead the numbers in the campaign.

Harper has sought to win a seat and has continued learning about Bitcoin for about four months. She became interested when she first heard of cryptocurrencies while belonging to the Consumer Financial Protection Bureau (CFPB).

However, she explained that she does not have any cryptocurrency-backed capital. She has restated her position that Bitcoin would bring advantages by pointing to the influence of some politicians over the crypto world. She considers that they do that only to obtain personal benefits instead of helping others.

Furthermore, she said that the banking sector favors the rich by providing them preferential access and conditions. She stated she would give the crypto sector correct legislation rather than control or ban it.

Politicians are aware of the advantages Bitcoin and other cryptocurrencies bring to citizens. For that reason, many support their inclusion in the law to allow their use in the economic system.

By Alexander Salazar

The billionaire businessman has made comments of support that have driven the price of DOGE higher. It is unclear whether people can acquire electric cars with cryptocurrencies, but many consider this favorable.

In recent days, the cryptocurrency community turned its eyes to Elon Musk, who announced something about Dogecoin (DOGE). The billionaire businessman expressed the willingness of Tesla to accept the memecoin as a payment method for its new merchandise.

Tesla Will Test Cryptocurrency Payments with DOGE

There have been rumors about the influence of Elon Musk on memecoins on the Internet for some time. On past occasions, the controversial billionaire entrepreneur has issued comments of support about the growth of DOGE.

Part of the crypto community would agree with the company accepting money transactions in crypto assets. However, there has not been any confirmation of their intention to allow cryptocurrency payments.

Alluding to a future where people can buy merchandise at Tesla, Musk would be considering that possibility. He recently tweeted that he is willing for his company to receive payments with memecoin Dogecoin.

The CEO of Tesla said that the firm would release DOGE-friendly merchandise to assess its progress.

The Community Expresses Its Reactions to the Initiative

The reactions of the crypto community occurred immediately after the businessman showed the public the initiative Tesla would undertake. Although it is not yet clear whether people can buy electric cars with cryptocurrencies, part of the community considers this favorable.

For the moment, they will test payments with DOGE on other products, apart from cars. When writing this article, 330 thousand people expressed their approval/support for that initiative on Twitter. It has received nearly 50 thousand retweets and over 9 thousand quotations.

Concerning the crypto market, a boost in the value of DOGE also made the optimism among traders evident. From the moment investors assimilated the comments from Musk, they started generating a bullish run of about 20%.

When they considered the possibility of making payments with Dogecoin, its price went from USD 0.15 to USD 0.19 in 24 hours.

However, the selling positions did not take long to control the market after that momentum. In any case, the volatility of memecoins appears every day when influential personalities issue comments about them.

Elon Musk Expressed His Support for DOGE

The impact of Elon Musk on the fluctuating price of memecoin Dogecoin is increasingly evident. Many DOGE devotees follow the businessman on Twitter to know everything he says about it.

Musk has posted tweets referring to the dog identifying the cryptocurrency, which has motivated people to purchase it. In addition, a rebound effect has led the value of the memecoin to increase.

Even though Musk recently reaffirmed his interest in Dogecoin, he warned that he would evaluate that initiative. Besides, his company has stated that it has not yet sold its Bitcoin.

The businessman argued that Tesla would not allow that form of payment unless Bitcoin mining reduces its energy consumption. However, he said that he still maintains his support for the cryptocurrency, which he keeps as a store of value.

DOGE is trading at around USD 0.16953 and has accumulated a loss of 2.8% in the last 24 hours. Its daily trading volume is above USD 1.6 billion, and its market capitalization is about USD 22.4 billion, according to CoinGecko.

By Alexander Salazar