Bit by Bit: Assessing the Legal Nature of Virtual Currencies
Noah Vardi · Palgrave Macmillan UK eBooks · 2016
"Virtual currencies" are a monetary phenomenon not easily defined. They set themselves at the crossroads between money, investment instruments, possibly commodities, and notwithstanding the fact that they are relatively widespread in practice (Bitcoin is the most prominent example), they are still lacking specific regulation in almost all legal systems. This poses a series of problems and risks that have caught the attention of regulators and market operators, some of whom have recently released important studies highlighting the need for ad hoc rules. The paper aims at giving a brief overview of the legal nature of these currencies and the possible rules which may be applied to them pending the approval of specific legislation.