Rethinking And Reconstruction Of China’s Digital Currency Legal Supervision System

Digital currency originated from Satoshi Nakamoto’s vision of "Bitcoin".Bitcoin relies on blockchain technology to realize decentralized peer-to-peer payment.After the birth of Bitcoin,the volume of digital currency has gradually expanded.Digital currency does not need to use physical cash as a medium,which reduces the cost of currency issuance and circulation.Its decentralization also improves transaction efficiency.At the same time,its anonymity and volatility also bring about the use of digital currency for money laundering,terrorist financing or The risk of illegal fund-raising activities.In order to prevent various risks brought by digital currency,many countries have regulated digital currency.PBOC and other departments have successively issued corresponding departmental regulations to prohibit financial institutions from providing digital currency services and issuing digital currency tokens.Other countries have strict or loose regulatory attitudes towards digital currencies.Regulation in Singapore is relatively soft,providing an innovation base and fault-tolerant space for digital token issuance through a “ regulatory sandbox ”,and differentiated supervision of tokens with different functions;Japan and Germany have determined the status of legal payment methods for digital currencies.Digital currency trading activity in China ranks among the top in the world.Implementing prohibitive regulatory measures will ultimately lead to a vacuum in the regulatory zone.Therefore,China must break the existing regulatory system,restructure the legal regulatory system of digital currency,and realize all-round supervision of digital currency.This article analyzes the potential risks brought by digital currency by studying the fundamental characteristics and different applicable scenarios of digital currency.Based on the status quo of my country,on the basis of perfecting the laws and regulations of digital currency supervision,we propose to implement effective supervision of digital currency through inclusive supervision,clarify the diversification of legal attributes of digital currency,and clarify the list of powers and responsibilities of supervisory entities.The transition from regulation to prudent and inclusive regulation.