Research On The Legal Mechanism Of Bitcoin Supervision Based On The Sandbox Model

With bitcoin’s price wildly changing,high risks probably lead to financial crisis,especially those illegal financing activities by using digital currencies without permission.And a rigid supervision on bitcoin is now radically required.Though relevant regulations have been enacted in China,the content is still rough and unpractical,a thorough supervision legal system is forming to satisfy the market subjects’ purposes.In the meanwhile,as the innovation is rapidly updating,financial reforms are extremely urgent.At the same time,financial regulatory reforms are proceeding,many countries is trying to establish the "regulatory sandbox" model represented by the British.The model accounts for financial innovation and risk prevention,and it is accepted for its flexible policy application,low entry standard and comparatively beneficial protection mechanism for consumers.This paper tries to make a further study on bitcoin’s regulatory system by analyse sandbox model,and provide new perspective and methods for a better supervision.The first chapter of this paper is an overview of bitcoin.It mainly introduces its development and different regulatory system to emphasize on its importance and necessity with divided by open and restricted types.At the same time,the global development trend is briefly analyzed.The second chapter of this paper is a comparative analysis of the current situation of bitcoin supervision at home and abroad.In foreign countries,we selected representative countries to conduct research,which involved the qualitative,regulatory and policy attitude of bit coin.However in China,problems stand out such as qualitative ambiguity in the supervision of bitcoin,the lack of regulations and supervisions.It mainly describes the present situation and its defects.The third chapter of this paper is the innovation of bitcoin supervision model--the sandbox system.First of all,it introduced the preliminary meaning from the the concept of sandbox model.Secondly,the paper introduces the content and characteristics of the main sandbox models and its relevance with bitcoin’s regulations.The fourth chapter of this paper is the suggestions on applying "sandbox" to bitcoin supervision,and it is the radical purpose of the paper.Firstly,it embodies sandbox model’s advantaged,furthermore,the existing problems and solutions are found through the comparison between the sandbox model and the current domestic bitcoin supervision model.Additionally,the feasibility of implementing bitcoin supervision sandbox is analyzed.Finally,according to the foregoing experience and lessons,the framework conception covers the application subject,the supervising agency,the operation process and so on.