Regulation of Digital Currencies in Terms of Examining the Available Policies and Regulations and the Development of Models Adequate for Protecting the Users and Preventing Illegal Activities
Artur Ucolov, Alina-Florentina Saracu · Annals of Dunarea de Jos University of Galati Fascicle I Economics and Applied Informatics · 2023
The increasing use of digital currencies has drawn attention to the need for strict rules to protect consumers and prevent illegal activities.The article will give an overview of existing rules and regulations in terms of certain global perspectives (China, US, EU, etc.) relevant to digital currencies, in addition to setting appropriate models to deal with the difficulties and opportunities presented by this new technology.The report analyzes the regulation environment for digital currencies, weighing the benefits and inconveniences of the current legislation and highlighting the fields that require reform.The paper provides a framework for effective regulation of virtual currencies that incorporates innovation and risk management, protects the interests of all stakeholders and relies on the best global practices.Moreover, it will be carried out a detailed analysis of the differences between Centralized Digital Currency (CBDC) and Decentralized Digital Currency (Cryptocurrencies).