The PAYTECH Book

Blockchain and Beyond

By Samiran Ghosh

Independent Consultant / Startup Advisor,

The legal status of cryptocurrencies, and the regulatory framework around them, vary across the world. Since blockchain is the underlying technology, the regulatory status of cryptocurrencies in a country also has a direct bearing on the progress of the technology there. With the current rise of blockchain technology, some governments around the world have already issued the first blockchain-related laws.

It is interesting to note that what we take as a matter of course today were objects of fear and ridicule not so long ago. As per the Smithsonian Magazine, at the turn of the 20th century, motor vehicles were handmade, expensive toys of the rich, and widely regarded as rare and dangerous. Similarly, according to the BBC, when Faraday first generated electric power in 1831, there was widespread fear of electric shocks and, according to The Economist, in the 19th century people worried that telegraph wires were affecting the weather or were a form of black magic. Trains were thought to cause nervous disorders. Today, a ban on the above innovations would be unthinkable to many. History has taught us that the regulation of new and disruptive technologies is more appropriate than their prohibition. This applies to crypto-assets as well.

While the global community wants consensus on cryptocurrency regulation, national governments are making their own manoeuvres and it is important to understand the ...