In Germany, new legislation on anti-money-laundering (AML) has been accepted. According to bill records, starting from January 1, 2020, all cryptocurrency exchanges, crypto wallets, and exchanges will have to obtain a license to operate (BaFin). The government determines the status of cryptocurrencies by this legislation. In particular, tokens will be considered a financial instrument.
The adoption of this decision caused an ambiguous reaction in the German political circles. The representative of Free Democratic Party F. Shiffler considers that this decision can lead to negative consequences. Particularly, businessmen who work with cryptocurrencies will stop the activity in Germany. Due to restrictions, they will be forced to look for new jurisdictions.
However, lawyer Christian Mller has the opposite point of view. He considers that the adoption of the bill will clarify the cryptocurrency industry regulation. As a consequence, it will become the basis of its development. He specified that this direction is not perceived in circles of investors as there is no legal basis.
Thus, despite the lack of consensus, the parliamentarians of Germany make an uncertain decision. Most likely, it will result in an outflow of the cryptocurrency companies from the country.