Belgium regulator: Decentralized cryptocurrencies are not securities

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The Belgian financial regulator clearlyoutlined his position regarding cryptocurrencies - decentralized coins issued exclusively in the form of computer code are not securities.

Thus, Bitcoin, Ethereum and other similarcryptocurrencies cannot be called securities and should not be regulated by relevant laws. Belgium's Financial Services and Markets Authority (FSMA) has clarified its stance on cryptocurrencies following an increase in requests from citizens and businesses. People wanted to know what laws apply to digital asset transactions.

There are no bills on this yet, butThe FSMA stated that in the future, cryptocurrencies may be treated as securities if they are “issued by a person or legal entity.” The regulator also noted that its phased plan is technology neutral, suggesting that it does not matter whether digital assets are used on the blockchain or through other traditional means.

“If there is no issuer, as in the case of an issue withusing computer code and is not done to enforce an agreement between the issuer and the investor (for example, Bitcoin or Ethereum), then securities regulatory laws do not apply,” the regulator said in a statement.

At the same time, FSMA representatives recalled thatCryptocurrencies may well be subject to different regulations and regulations, especially if a company uses digital assets as a means of exchange or payment.

Interestingly, back in July of this year, FSMA proposed regulating cryptocurrencies as securities.