Under the new regulations, crypto-asset service providers are required to collect and share certain information about the sender and recipient of their crypto-asset transfers, regardless of the amount of crypto-assets involved.
The amended regulations will make it possible to track transfers of crypto-assets, so that any suspicious transactions can be identified and blocked if necessary.
Is this possible and possibly how will the new regulations apply to Safe Network?
Do you happen to have a link to the actual legislation?
Usual IANAL disclaimer, and I haven’t read the underlying legislation changes (yet) but…
I don’t think it’s something that will affect us too much TBH. Our tech allows parties in a transaction to share information as required to fulfil thier obligations as required in Europe etc.
And buying or earning tokens as they are primarily intended for data services is all good, and there are no privacy concerns between a token transfer and the underling data you store etc.
The act was adopted by the EU Council today, but if you are asking about the content of the regulation (recast), it is in the link at the bottom of the article:
https://data.consilium.europa.eu/doc/document/PE-53-2022-INIT/en/pdf
Of course tech allows parties in a transaction to share information as required to fulfil thier legal obligations but the regulation states that it is crypto-asset service providers are required to collect and share information.
And here the question is:
whether the service provider will be the MaidSafe team (and since the network will be autonomous, there will probably be no physical service provider after its launch),
or it will be the developers of the application and they will have such an obligation (but they will also not be able to transfer any data of users and their transactions).
Is this the right question?
This isn’t the legesaltion itself though… I was looking for how they define service provider for example.
I did have a bit of a dig for it but it’s always such a labyrinth that website.
No we will not. We won’t be providing any financial services, exchanging, money transmission etc.
Exchanges and points of conversion will have these obligations as per their jurisdiction. And the tech is fully capable of meeting these kinds of obligations.
But just remember that the payments and the data services that those tokens allow are separate things, and there is no link between them.
Well, that is what I asked about, how officials intend to enforce, e.g. information about transferring funds between users?
I understand that this regulation will not be effective in the case of SafeNet, when crypto-assets will be in circulation outside official organizations, e.g. stock exchanges, banks, exchange offices, etc.
This is true for other crypto’s too, not just Safe … this appears mostly to affect exchanges.
I have heard whispers of politicians promoting that all wallets need to have KYC built-in … I don’t know how that could ever be enforced though - seems silly and ignorant.