The Governance of Blockchain Financial Networks

January 14, 2018

How can companies stay compliant with regulations such as FINRA, MiFID II, and GDPR? Should they ban WhatsApp at work and risk the productivity and efficient communication between their employees? Or should they rather create effective policies and invest in the right technologies to help them stay compliant and achieve effective enterprise communications all at once? The emergence of blockchain technology has become inextricably linked to Bitcoin,2 a ‘virtual currency’ that allows users to trade ‘bitcoins’ directly from peer to peer without involving banks or other intermediaries.3 Whereas Bitcoin in theory is nothing more than a unit of account, it has in practice developed functions akin to those of money, in particular since it can be freely exchanged against currency and is regularly used to store value.4 Bitcoin has also risen to prominence as a means of payment (over 100,000 retailers accept bitcoins).

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