Japan Proposes Rules for ICO's, India's Central Bank and Bank of Montreal Move to Ban Crypto Dealings

By Samuel Mowers at Investorideas.com

Japan Proposes Rules for ICO's, India's Central Bank and Bank of Montreal Move to Ban Crypto Dealings

Japan's ICO Business Research Group released a proposal today for allowing initial coin offerings.

"ICO is still in its infancy and has no industry practices yet. Appropriate rules must be set to enable ICO to obtain public trust and to expand as a sound and reliable financing method. Based on a shared awareness of this necessity, financial institutions, non-financial companies, and venture companies have co-founded the ICO Business Research Group. This report proposes rules needed to establish ICO as a sustainable financing method based on discussions conducted by the research group."

Bloomberg reports that "the proposals will be deliberated by Japan's Financial Services Agency later this month, and could eventually become law in a few years."

The Reserve Bank of India (RBI), India's central banking institution, released a statement today saying that effective immediately it is banning any dealings with cryptocurrencies in any institution under its control.

"Reserve Bank has repeatedly cautioned users, holders and traders of virtual currencies, including Bitcoins, regarding various risks associated in dealing with such virtual currencies. In view of the associated risks, it has been decided that, with immediate effect, entities regulated by RBI shall not deal with or provide services to any individual or business entities dealing with or settling VCs. Regulated entities which already provide such services shall exit the relationship within a specified time."

In a similar move, CoinDesk reports that Canada's Bank of Montreal (BMO) will be banning crypto purchases on debit and credit cards. In an email to CoinDesk, a spokesperson for BMO said:

"I can confirm that we no longer allow the purchase of cryptocurrencies via Interac Online Payments or by using a retail consumer Mastercard-branded credit or debit card."

The email went on to explain the bank's move as a means to safeguard clients.

"This decision was made due to the volatile nature of cryptocurrencies, and so to better protect the security of our clients and the bank."

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