Regulators of Gibraltar have by far approved around 14 cryptocurrencies and blockchain firms to be within the licensing scheme. They are trying to get the attention of Poulden, who is the ex-Sirius Minerals Chairman and the one who chooses the Valereum crypto-exchange project. According to him, Valereum is trying to harness the cryptocurrency sector of $3.4tn roughly.
Poulden is also the chairman of Valereum, a name that is focused upon providing the technology for linking mainstream conventional currencies like pound and dollar with that of crypto assets. It will be a major task for overhauling exchanges, but according to Poulden, the firm is ensuring to lean on tech instead of people and is ensuring to weed out bad actors.
What do experts say?
The experts warned Gibraltar of facing sanctions from the countries like the US in case the regulators end up providing legal approval to the crypto firms, which will inadvertently be giving a pass to the money laundering kleptocrats and black-market criminals, who have been preferring the crypto assets anonymity.
Apart from above, all of its coming amidst the concern while the major regulators of the global Financial including the bank of England, in regards the crypto assets rapid development and also the potential consequences for investor or consumer protection, money laundering, market integrity, and terror groups financing.
Furthermore, in case anti-money laundering rules or sanctions, they get broken/evaded, it will really make things difficult for Gibraltar. FATF can even impose varied measures which will be required for putting limits upon business within the country. However, according to insists of Gibraltar, the crypto firms have been welcomed with eyes wide open, and consultations upon the regulation of the sector have been made for 4 years before the same got introduced in 2018.
Isola, he has even questioned about how it will be increased risk for Gibraltar when one can easily go to any of the European countries and can run easily same kind of business without any supervision or license, or regulations? He questioned how can Gibraltar then be exposed by having proper regulations?
Further, the Gibraltar financial services commission, they declined for commenting upon the Valereum deal.