Bitcoin train – Why Forex Brokers might hesitate to Jump on?
Forex brokers looking to work with Bitcoins face a few challenges, most of them are regulatory. In mid-2015 Bitcoin still remains unregulated and unsupervised. There is no central bank to regulate its flow and exchange. In addition, the Anti-Money Laundering questions remains unsolved, as Bitcoin users identity is veiled (they don’t need to have bank accounts for holding Bitcoins, for example).
Combined together, those issues hold back some Forex brokers who would ultimately already adopt Bitcoin trading themselves.
In the meantime, there have been some intriguing developments, as Bank of America among the first showed interest in adopting digital currency transfers. As of September 17, 2015 Bank of America has successfully registered a patent to use Bitcoin, Litecoin, Ripple, Peercoin, and Dogecoin for fund transfer between accounts.
Another industry giants – Amazon and MasterCard – are also exploring the ways of working with digital currencies, and related patents have been also filed.
Meanwhile, Commodity Futures Trading Commission (CFTC) in the US confirms that Bitcoin is a Commodity, and hence CFTC has authority to control digital currency futures and options.
And so, the train gains speed, and time will tell, as for now, Bitcoin popularity grows, and so is our list of Bitcoin Forex brokers.
Regulating the Forex market ensures fair and ethical business between parties, which is why we feel like it must be a matter of time before the cryptocurrency market is forced to join the regulation train.
One problem with this is that the whole point of cryptocurrencies is to not have a central point of governance, which regulation would require. Therefore when this happens is still up for debate and how it happens because there will be crypto purists that won’t like this at all.