Cblocks was able to generate about $32,000 in a month and it is said to have achieved that through the sale of beginner traders mystery boxes of assorted cryptocurrencies. It was in the statement it made today that it let the general public understand that it would soon be relocating to Canada.
When asked by journalist to provide more details regarding its sudden decision, it proceeded to cite several hurdles. It made it known that a number of lawyers from some two different legal firms had been unable to make a proper determination of the legislative apparatus and precise legal classification governing the overall operations of the company.
Cblocks has made a statement outlining that it was engaging in the sale of an encrypted USB constituted by about five random cryptocurrencies , which it asserts will be done on behalf of the customers and will be at an exchange fee of $50.
According to the U.S. law policies, Cblocks could most probably be classified as a money services business. An official working with the company in making his statement outlined that there was indeed a stand-off. It has become a nightmare reaching the agreement on whether it is a money services business or not.
Thoughts from experts
Auston Bunsen, who is the current Cblocks chief executive officer and a co-founder as well, stated that they considered Canada based on the fact that it had a much friendlier regulation when it got to cryptocurrencies. He stated that all that they needed was a federal registration.
A global strategist for ADM Invest Services International, Marc Ostwald, while speaking in London laid a major emphasis on the significance of anti-money laundering considerations for the wide array of businesses whose operations were centered on cryptocurrency. He spoke in an elaborate way about the burden of proof as well as the need to establish regulations.
Iqbal Gandham, who is the Director of United Kingdom-dependent on-line investing platform said that an ideal framework revolved around ensuring both the legitimacy as well as the legitimacy. According to him, there was need to guard consumers in a great way.