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On Legal Regulation Of Virtual Currency

Posted on:2013-01-04Degree:MasterType:Thesis
Country:ChinaCandidate:Y H XiaoFull Text:PDF
GTID:2216330368494653Subject:Economic Law
Abstract/Summary:PDF Full Text Request
Currency has gone through different phases, including commodity money, metal money, paper money,electronic money etc. As a product of the virtual economic development, the virtual currency has played an irreplaceable role in promoting development of internet economy and financial innovation, and even been the representation of the market activities. However, the virtual currency also causes many social problems. The random of virtual currency issue and trading overflow destroys the normal virtual market, leading to more and more infringement .Besides; others take use of virtual currency to commit a crime such as money laundering. Coupled with the legal gaps, the government can not supervise the virtual currency effectively. Therefore, it is necessary to build a system framework of legal regulation for the virtual currency.At first, it is needed to confirm the object before making the legal regulation of virtual currency. Academia and business community have little consensus on virtual currency that just appears as a new thing. China-related legal documents define the content of online game virtual currency. But it is only one kind of the virtual currency on the network. So the virtual currency must be defined as a whole. Through the analysis, we know that the virtual currency meaning has broad and narrow points. The virtual currency which needs to be regulated refers to the narrow concept. As a kind of vehicle similar with currency, the virtual currency is issued legally by specific issue body (large business websites or online game operators), exchanged by RMB, and applied for purchasing specified virtual products and services.With the basic characters such as virtuality, property and limited functionality, the virtual currency is different from traditional money, electronic money and other virtual money. For this reason, a new system needs to be set up to achieve the purpose of regulating the virtual currency. At present, there are some legal documents related to the virtual currency, however, some shortcomings are as follows: either the legal effect is lower, or it only involves online game virtual currency .According to the foreign virtual currency legislation; we will still refer to many aspects.For virtual currency issue, a unified virtual currency distribution system should be set up. Comparing with the advantages and disadvantages of uniform distribution of virtual currency respectively by the central bank, commercial bank or a non-financial institution, we had better set up virtual currency bank and authorize them monopoly for virtual currency issue. The virtual currency bank distinguishes from other financial institutions as commercial bank by different business objects and works independently.Because of the specialty of virtual currency, the establishment of virtual currency bank will also have special requirements. At the same time, it is quite important to regulate virtual currency issue by virtual currency bank, for the purpose of playing out the greatest value of virtual currency. We should have a clear understanding on principles and standards of virtual currency issue, the punishment for issuing illegally and so on.With regard to virtual currency trading, we must straighten out its types. So we can resolve the problems more pertinently. Virtual currency trading divides into two types: one happens between the issue subject and the economic; the other is between individual consumers. Relevant government departments should also take various regulatory measures to effectively ensure virtual currency transactions.
Keywords/Search Tags:virtual currency, virtual currency bank, virtual currency issue, virtual currency trading
PDF Full Text Request
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