Tanvi Ratna: “China launches its cryptocurrency focused on trade war”
Tanvi Ratna, a specialist in blockchain policies and regulations, says in this interview given to Blockchain Observatory that the Chinese government is launching the currency with a focus on war and commercial dominance.
Ratna, a graduate in engineering from the Georgia Institute of Technology and a Master in Public Policy from Georgetown University and the Lee Kuan Yew School of Public Policy, recalls that China recently launched the Shanghai One-Stop Shop for Trade. This new window is fully equipped for blockchain, emerging technologies and with a sovereign currency adjusted to the block chain.
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Ratna, an Indian descent who was recently in Spain to participate in the The Global Blockchain Congress Convergence 2019 in Malaga. He was responsible for Blockchain at Ernst Young before founding Policy 4.0, a place from which to advise on the formulation of policies and technology to build new government paradigms.
FATF, the most important regulation
This woman, who has worked with public policy makers and regulators of blockchain ecosystems in Switzerland, the United States, Germany, France, the Netherlands, the United Arab Emirates or India, considers that the most important global regulation on this technology throughout 2019 is the one launched by the International Financial Action Task Force (FATF).
As previously reported by Blockchain Observatory, the FATF urges to ask providers of virtual asset services and exchange houses for information about clients who carry out financial exchanges. FATF is an intergovernmental institution created in 1989 by the G8 to prevent money laundering and the financing of terrorist activities.
Liechtenstein, the most advanced legislation
With the acting of FATF, the founder of Policy 4.0 believes that a higher level of compliance is sought from KYC (Know Your Customer-Know Your Customers) and AML (Anti-Money Laundering-Money Laundering Prevention) and leave out the currencies that protect privacy.
Ratna also speaks of a second set of regulations with global significance, which should appear in a few months around stable currencies. He explains that greater regulatory clarity for crypto assets worldwide is currently being sought.
For this expert in blockchain regulation, the country in the world with the most advanced legislation in this field is Liechtenstein:
“It has one of the most comprehensive frameworks, with almost every aspect of the tokenized economy thought. Many countries in Asia have taken great strides. Great players, such as the United States or Switzerland, have also made revisions to their approaches”.
India and regulatory uncertainty
Ratna speaks of her country, India, as a place full of talent, but where the entire ecosystem is struggling because of regulatory uncertainty and the Government’s negative attitude towards cryptocurrencies.
“We have some world-renowned startups, such as Matic Network and Nuo Network. but also one of the toughest regulatory environments in the world”.
On the most relevant developments carried out this year in the blockchain industry, Ratna cites the increase in applications in the field of decentralised finance. It also refers to institutional adoption and the chains of private blocks, from which he says they have evolved massively throughout 2019.
However, he believes that “with the launch of Libra and, potentially, China’s sovereign currency, talks have moved to the next level”.
The White book of Libra
Like many other significant personalities from the blockchain and crypto ecosystem, he believes that the most decisive event of this industry in 2019 has been the launch of the Libra White Paper.
“I also believe that the launch of the final FATF guidelines has significantly altered the regulatory environment. However, if the Chinese sovereign currency were to be launched this year, I think it would overshadow all other developments so far”.
Ratna is concerned about how governments and regulators can incorporate ethics and humanism into decentralized blockchain proposals. “This is the most important aspect that governments and legislators have to deal with,” he explains.
On this issue, he believes that so far only the tip of the Iceberg has caught the attention of global regulators (risk management in finance). He is aware that major developer communities, such as Ethereum, Tezos or others, have to deal with these issues every day in their self-government models.
“I am convinced that careful regulations by government agencies will be required to create legally binding and enabling environments for decentralization”.
Bitcoin, money resistant to censorship
In order to prevent certain layers of society from being sidelined by technological innovation, new efforts in digital literacy must be made.
However, she says that “emerging technologies are doing a lot to simplify previous layers of technology, and User centralization is increasing in all areas”.
Ratna cites the use of Bitcoin as censorship-resistant money as one of today’s most successful blockchain applications.
He also explains that consortiums like Energy Web Foundation are doing well in the production stage and that many government blockchain applications should be showing results by next year.