The regulation of cryptocurrencies has been a significant issue in the crypto industry. Cryptocurrencies, and the trading of cryptocurrencies, have not been thoroughly regulated. This has irked many people like the billionaire businessman, Warren Buffett, who has been a vocal critic of the cryptocurrency industry due to its association with money laundering and terrorism.

The massive popularity of cryptocurrencies has prompted countries around the world to formulate new laws to keep up with the disruptive technology. Central banks have largely ignored cryptocurrencies in its early stages.

A phenomenon of central banks contemplating to create their own cryptocurrencies have risen in the past few months. India, Canada, Brazil, and England have decided to take action either against cryptocurrencies or to become part of it by introducing their own versions.

India
The Central Bank of India is mulling on the idea of issuing its Central Bank Digital Currency (CBDC). However, the decision is being contested by the Reserve Bank, which demands a complete ban on the trading of crypto in the country. The government has not announced any official policies yet, but the whole matter is expected to be settled by the Supreme Court in the coming few months.

Brazil

In Nov 2020, PIX – a Brazilian Central Bank’s instant payment system able to do instant transactions - is expected to be launched. PIX is an excellent platform for instant payments via ATMs, smartphone applications, and e-banking. PIX is expected to considerably reduce the time of payments and facilitate customers in numerous ways.

The president of the Central Bank of Brazil has noted that PIX is a response to the cryptocurrency market because there is a public demand for having secure and reliable methods for doing financial transactions. PIX will provide an economical, rapid, transparent, and safe way for doing transactions. Moreover, PIX has been promoted as the most straightforward application available for financial dealings and is expected to disrupt or significantly improve Brazil’s cryptocurrency market.

England

The cryptocurrency market in England has grown considerably. Bitcoin, Litecoin, and Ethereum have considerable market share in England. This has urged the Bank of England’s Chief Cashier Sarah John to favor the development of a cryptocurrency controlled by the Central Bank.

The Bank of England has issued numerous warnings in recent months. These warnings were concerned with the growing monopoly of private organizations in the cryptocurrency market. BoE has raised concerns that at this pace, the private sector might end up control the digital currency sector, while public lawmakers and the Central Bank would have to play catch-up.

The Financial Stability Board of England (FSBE) has also urged the world leaders to speed up their process of developing a public digital currency that can be regulated easily. The FSBE has some serious concerns over the current practices and trading of cryptocurrencies that is not regulated fully as they fall under the jurisdiction of the private sector.

France
Bank of France has taken a hard stand against private organizations in the cryptocurrency market. Francois Villeroy de Galhau, Governor of Bank of France, has clearly said that all cryptocurrencies should be under the control and regulation of the Central Bank. He further announced that a prototype digital currency will be launched soon.

Canada
On the very opposite side of it, Tim Lane - Deputy Governor of the Bank of Canada – feels that central-controlled cryptocurrencies is not really what the world needs. The Bank of Canada though, is ready to launch a digital currency.

China
China is also in the process of developing their own National cryptocurrency. They are planning to release this in the first Quarter of 2020. But in a recent announcement it stated that due to the coronavirus outbreak it the release will be postponed to a still undetermined date.

Facebook’s Libra

Facebook has announced to launch its cryptocurrency Libra. With Facebook’s massive reach - more than a billion people using its platform - Libra is projected to be a game changer in the digital world. The cross-country aspect of Libra to operate and execute payments internationally has made countries wary of the disruptive potential of digital cryptocurrencies.