A LEGAL FRAMEWORK
It looks like things are moving forward for a more secure use of blockchain and cryptocurrency technologies. Just today, the world’s leading players in digital currency have partnered to create the Blockchain Token Securities Law Framework as a form of self-regulation. The partnership includes Coinbase, ConsenSys, Union Square Ventures, and Coin Center.
Blockchain is a system that offers security through transparency. It’s a data structure that uses digital ledgers of transactions shared among a distributed network of computers. It’s used by digital or cryptocurrencies, the most famous of which is Bitcoin and the newcomer Zcash.
Basically, transactions in a blockchain are monitored and kept by people part of a decentralized network, called miners, who store all data in blocks. Digital tokens or cryptocurrencies created on blockchains are called blockchain tokens.
According to ConsenSys, “The ability to widely sell a product or access to a product enables companies to overcome capital crunches and bring worthy products to market.”