Why technology assurances are a must for crafting EU crypto regulation By Cointelegraph

Why technology assurances are a must for crafting EU crypto


Why technology assurances are a must for crafting EU crypto regulation

When Malta set out to provide a regulatory framework for the cryptocurrency sector, policymakers and advisers recognized how blockchain, distributed ledger technology and smart contracts, as well as related technologies, imposed new challenges to providing consumer protection and to fitting within existing legal structures.

Immutability of data — and subsequently code, or rather smart contracts — is a desirable feature to provide guarantees to users that data (and smart contracts) cannot be tampered with. However, this also poses a critical challenge: Often, it is impossible, or infeasible, to change code once it has been written to such a distributed ledger. This potentially means that code can be deployed that ends up managing millions to billions of dollars worth of funds, and if a bug is found, it may be impossible to update the code to get rid of it.

Joshua Ellul is the inaugural chairperson of the Malta Digital Innovation Authority. The MDIA provides a regulatory framework for instilling higher levels of technology assurances into innovative technology arrangements including blockchain, DLT and smart contracts. Ellul is also director of the Centre for Distributed Ledger Technologies at the University of Malta, which runs a multidisciplinary master’s program in blockchain and DLT.

Continue Reading on Coin Telegraph

Disclaimer: Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. All CFDs (stocks, indexes, futures) and Forex prices are not provided by exchanges but rather by market makers, and so prices may not be accurate and may differ from the actual market price, meaning prices are indicative and not appropriate for trading purposes. Therefore Fusion Media doesn`t bear any responsibility for any trading losses you might incur as a result of using this data.

Fusion Media or anyone involved with Fusion Media will not accept any liability for loss or damage as a result of reliance on the information including data, quotes, charts and buy/sell signals contained within this website. Please be fully informed regarding the risks and costs associated with trading the financial markets, it is one of the riskiest investment forms possible.



Source link

Cointelegraph


Leave a Reply

Your email address will not be published. Required fields are marked *


About us

InvestLab is a financial services technology company focused on the global trading market. Founded in 2010 in Hong Kong, the company develops trading, market data, and social research products that enable individual investors and small to mid-size brokers to access global markets. We provide brokers and financial institutions cross border capabilities for retail investors into 43 markets globally.


CONTACT US

CALL US ANYTIME