In recent months, there have been many discussions on the formulation of public international law in the field of cryptocurrency. However, with the invincibility of cryptocurrency and the increasing number of cryptocurrency enterprise bankruptcy cases, many people have indicated that strong cryptocurrency regulation must be formulated, including Zhao Changpeng, CEO of Binance.

Binance CEO talks about encryption policies and regulations

When talking about the 5-point encryption supervision plan recently released by the International Monetary Fund (IMF), CZ indicated that this plan is very beneficial and "beneficial" to cryptocurrency and its related business processes. According to CZ, the most effective method of customer maintenance is to carry out risk supervision internationally. In addition, when talking about the security threat of complete ban on cryptocurrency in some jurisdictions, it was reported that:

A thorough ban will only lead to customers' actual operation in the dark, risk arrogance, and no safety net.

As the CEO of the Exchange Center said, the IMF first expected the cryptographic property service provider to be approved, registered and authorized. This includes enterprises providing services such as deposit, migration, swap, clearing and storage, and is subject to policies and regulations similar to those that control traditional financial market service providers. It requires that the property belonging to customers and the property belonging to the enterprise should be stored in different parts, and the responsibility unit should be further clarified.

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According to CZ, the cryptocurrency field is looking forward to formulating stable, comprehensive and worldwide consistent cryptocurrency laws to meet its cross-border e-commerce characteristics. He further stressed that in order to make the globalization strategy successful, it is necessary to develop the trend with the changes in the sector.

Standard borrowing, stable debt volume, etc

Second, institutions that implement various tasks in the field of encryption should be subject to more supervision. Such business processes should be subject to strict clarity, so as to properly define all dependencies and operations. In case of any benefit transfer, the relevant departments shall check it and forbid it if necessary.

Third, as more and more investors regard stable currency as a way of storing its use value, foreign investors in stable currency must abide by strict and prudent regulations. If such property is not subject to appropriate review and supervision, it may endanger the stability of the currency lending and financial system. For the extremely important stable currency, it may also need to be at the same level as the regulatory level that often occurs in commercial banks.

CZ pays attention to the last point, that is, when thinkers and regulatory organizations expand the permitted activity space, customer protection and sales market integrity will be better. This phenomenon has been observed in many different industries, such as traditional finance, medical health, pharmaceutical industry, mobile internet content, etc.