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      Home Cryptocurrency Bitcoin

      European Parliament requests the establishment of a Crypto Crime Compensation Fund – Regulation Bitcoin News

      Socialmediagossips by Socialmediagossips
      January 19, 2021
      in Bitcoin, Cryptocurrency
      2 min read
      0
      European Parliament requests the establishment of a Crypto Crime Compensation Fund – Regulation Bitcoin News
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      A petition has been submitted to the European Parliament asking for a system to compensate victims related to crypto. The crimes identified in petition 0421/2020 include fraud, piracy and extortion.

      The author of the petition represents victims in the case of alleged fraud in Bitsane

      According to the author, attorney Jonathan Levy, the petition is asks the block is supposed to implement a number of regulatory systems to “compensate” “victims” of activities related to crypto-crime.

      He pointed out that so far in the European Union (EU) “no funding of crypto assets has been provided to compensate victims of directly related criminal activities”. The lawyer suggests charging a fee of 0.0001 cents per euro for crypto transactions, which goes to a “superfund for victims”.

      According to the petition, victims of crypto crimes have “tried to offset their losses in different ways”, for example through legal proceedings before national courts within the EU. However, Levy says that “none of these remedies were successful because of the multi-jurisdiction nature of the crypto transactions.”

      The document goes further on the matter:

      The petitioner [Levy] notes that neither the Commission nor the European Ombudsman have declared themselves competent on this matter. He urges the European Parliament to act directly to help victims of crypto-active crimes, as part of its EU strategy to create a true single market for digital financial services.

      Levy is known for in the crypto space Represent Victim of suspected exit fraud by Irish crypto exchange Bitsane. He cited this case as an example of how the Irish authorities “did little or nothing” to track down stolen funds.

      At press time, the attorney claims that the stolen sacrificial funds have exceeded $ 1 billion.

      The European Commission rejected the creation of a crypto fraud compensation fund in 2020

      The petition 0421/2020 has 48 supporters so far. In addition, its status remains on the European Parliament’s website as “available to supporters”.

      However, the feasibility of the petition is still in doubt. On October 21, 2020, news.Bitcoin.com reported that the European Commission (EC) has expressed its opposition to the creation of a super fund for cryptocurrency at 0.0001 cents per euro.

      The commission argued that most crypto crimes take place outside of EU jurisdiction. They also claimed they had no authority to set up or manage such a fund.

      What do you think of the petition submitted to the European Parliament? Let us know in the comments below.

      Photo credit: Shutterstock, Pixabay, Wiki Commons

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