Blockchain News – Blockchain based electronic payment system is planned by cyprus Securities and Exchange Commission
November 9, 2017 7:09 am
The Cyprus Securities and Exchange Commission (COSC) has announced that it plans to integrate blockchain or Distribution Ledger Technology (DLT) to its electronic payment system.
In partnership with blockchain Technology for the Algorithmic Regulation and Compliance Association (BARAC), the financial regulator has signed to develop and introduce the blockchain technology system.
In its press statement, CySEC’s partner BARAC announced the various advantages of DLT to the financial industry such as enhancing the efficiency, increasing security and deleting the duplication in transactions.
“Blockchain Distributed Ledger Technologies (DLT) are of great interest to the financial industry because they have the potential to improve efficiency, augment security, eliminate duplication, simplify compliance and increase settlement speed, transparency and verifiability while preserving privacy and anonymity.”[sic]
CySEC’s support for initial coin offerings and Blockchain
CySEC’s is aggressively developing plans to explore other potential advantages of the blockchain. The regulator is also a member of the European Securities and Markets Authority (ESMA), which is participating in several international research projects on technology.
Additionally, CySEC’s expressed positive feedback on blockchain and initial coin offerings (ICO). Controller Director Demetra Kalagirou said In her statement, that ICOs are a way of producing small funds to finance start-up companies and they focus on them in 2018.
“We think it’s a product, a way to raise small funds to finance start-ups. 2018 is the time to put crowdfunding in place. We have given it the priority.”
Cyprus future as an ICO and Blockchain hub
CySEC Electronic Payment System is expected to acquire many prospective benefits, such as faster transactions, low fees and improved transparency of payments to the customers through launching the DLT technology.
The success of various DLT projects in Cyprus is expected to make the country an attractive place for financial technology (FINTEC) companies and as well as an ICO hub in the future.