2016/10/19 7:44 AM
Popular Bitcoin and altcoin exchange Poloniex has submitted a request for no action relief to the Commodities and Futures Trading Commission (CFTC) around potential allegations that required timing of the “actual delivery” of cryptocurrency, regulated by a 28 day period in the Commodity Exchange Act (CEA), has been violated.
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The digital nature of cryptocurrency, however, does not mend well to the wording of existing laws, thereby hurting attempts to determine the full, or “actual” delivery of the commodity. Poloniex, in turn, has responded by saying that their business practices of providing cryptocurrency exchange and margin trading do not fall under this stipulation.
Poloniex Makes a Case for Constructive Bitcoin Regulation
Due to the unique, abstract nature of cryptocurrency, determining when an “actual delivery” occurred is grey in relation to the black…