One-coin blockchain problem

In a recent expert article, we introduced the one-coin blockchain. According to FINMA Guidance 02/2019 [1], full identification will be requested from third parties in certain situations. How is this problem related to the one-coin blockchain? An understanding of this problem is important not least because the FINMA requirement is related to what is known as FATF Recommendation 16 [2].

It should first be pointed out that with the one-coin blockchain no specific relationship exists between the credit balance documented in the blockchain and the owner of the coin. As explained in [3], the coin belongs to the person in possession of the key to the last block in the chain. This is in contrast to a bank account balance, which requires an explicit, formally documented relationship between the owner of the account balance (the “beneficial owner”) and the account. Identification of the account balance is a problem that all those who have opened a bank account are sure to have encountered. The relationship between the identified person and the account is the next problem.

 

Links:

[1]https://www.finma.ch/de/dokumentation/finma-aufsichtsmitteilungen/

[2]https://www.fatf-gafi.org/media/fatf/documents/recommendations/pdfs/FATF%20Recommendations%202012.pdf

[3] https://www.eurospider.com/de/know-how/compliance/255-die-ein-m%C3%BCnzen-blockchain

Complete Revision of the Federal Data Protection Act

The complete revision's draft of the Federal Data Protection Act is currently in political consultation. Data Protection is to be increased by giving people more control over their private data as well as reinforcing transparancy regarding the handling of confidential data.

Links: draft, report

Eurospider Information Technology AG
Schaffhauserstrasse 18
8006 Zürich

 

Cookies make it easier for us to provide you with our services. With the usage of our services you permit us to use cookies.
More information Ok Decline