Felix Hufeld, chief of Germany’s financial watchdog, has claimed blockchain engineering is “innovative” and its programs could turn the full financial sector “upside down.”
Hufeld, who is president of the German Fiscal Supervisory Authority (BaFin), created the remarks during a speech at an function in Berlin past 7 days in which he explained the regulator’s contemplating on bitcoin and blockchain.
Regardless of the latest buzz, “if not a bubble,” all over the bitcoin value and the growth of first coin offerings (ICOs), he claimed, blockchain’s capacity to electrical power distributed programs “could truly be innovative.”
“These apps are not only protected from failures of unique personal computers or providers, they also market the enhancement of a ‘blockchain financial state.'”
More, the BaFin head claimed blockchain programs have promise in regions that absence “an powerful control mechanisms or dependable establishments” this sort of as in international trade or enhancement aid.
The speech follows remarks by Hufeld in April, in which he said that he does not want to “get rid of innovation” in blockchain, even though his company is beefing up efforts to control cryptocurrency investing more than income-laundering worries, according to a report at the time.
BaFin also issued new rules in February outlining how and when it would think about tokens issued during ICOs to be securities, saying it would choose a circumstance-by-circumstance approach in figuring out the legal position of unique tokens.
BaFin image by using Shutterstock