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Oversight and Regulation of Cryptocurrencies: BitLicense

In: Cryptofinance A New Currency for a New Economy

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  • Usman W. Chohan

Abstract

The question of regulation in the domain of cryptocurrencies has been tackled in various ways, exhibiting therein a desire to strike a balance between fostering innovation and promoting oversight. This chapter examines the case of BitLicense, issued by the New York Department of Financial Services (DFS), with the aim of contextualizing the relative merits of regulatory and oversight initiatives in the domain of cryptocurrencies. This includes an examination of the impact and critiques regarding BitLicense since its promulgation, along with the use of perspectives from public value theory (PVT) to contextualize the value creation efforts of the DFS using BitLicense as a regulatory instrument. The findings of the chapter suggest that contrasting views exist on the value creation of cryptocurrency regulations, and this is reflected both in a PVT approach as well as the evolving praxis of virtual currency regulatory and oversight efforts.

Suggested Citation

  • Usman W. Chohan, 2021. "Oversight and Regulation of Cryptocurrencies: BitLicense," World Scientific Book Chapters, in: Stéphane Goutte & Khaled Guesmi & Samir Saadi (ed.), Cryptofinance A New Currency for a New Economy, chapter 6, pages 105-120, World Scientific Publishing Co. Pte. Ltd..
    • Handle: RePEc:wsi:wschap:9789811239670_0006
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    References listed on IDEAS

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    3. Mykola Inshyn & Leonid Mohilevskyi & Oleksii Drozd, 2018. "The Issue Of Cryptocurrency Legal Regulation In Ukraine And All Over The World: A Comparative Analysis," Baltic Journal of Economic Studies, Publishing house "Baltija Publishing", vol. 4(1).
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    More about this item

    Keywords

    Cryptocurrencies; Digital Currencies; Bitcoin; Blockchain; Fintech; Tokenization; BitLicense; Crypto-Asset;
    All these keywords.

    JEL classification:

    • G11 - Financial Economics - - General Financial Markets - - - Portfolio Choice; Investment Decisions
    • G1 - Financial Economics - - General Financial Markets

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