Legal Regulation Of Legal Digital Currency

With the development of Internet technology and its application in the financial sector,the public’s payment methods are trending towards digital and intelligent,and money,as a lubricant for smooth economic flow,is also changing to digital form.In order to compete for the global financial discourse in the new era,countries are planning to launch their own national legal digital currencies.As a new payment method,legal digital currency absorbs the advantages of traditional money,electronic money and digital cryptocurrency,and has the advantages of lower circulation costs,higher transaction efficiency and greater security and reliability,but legal digital currency also has the disadvantage of relying entirely on information data and making personal information more transparent.Legal digital currency has new attributes and functions,and the current legal regulations in China are based on traditional banknotes and coins,and legal digital currency cannot be fully applied,which will bring new challenges to China’s currency issuance,circulation and financial supervision.From the perspective of legal construction,this study explores the concept,characteristics and legal attributes of legal digital currency in China,compares the current situation of legal digital currency development in various countries,compares the obstacles faced by legal digital currency in issuance,circulation and supporting mechanism construction,and puts forward corresponding countermeasure suggestions,hoping to provide a modest contribution to the later legislation of legal digital currency.Except for the introduction and concluding remarks,the article mainly consists of four chapters as follows:The first chapter is an overview of legal digital currency.Legal digital currency is a digital form of money issued by the central bank,which does not have a physical entity.while it has legal,digital and value characteristics,and can be used as an object of property rights and has identity properties.Through the introduction of the concept,characteristics,legal attributes and other basic theoretical contents of legal digital currency,the following chapter prepares the legal problems and mechanism construction that may be encountered in the process of issuance and circulation.The second chapter is an exploration of the development of legal digital currency and the status of legal regulation.It introduces the development process of China’s legal digital currency pilot cities,the main application areas of legal digital currency and the policy documents that promote the development of legal digital currency,and also introduces the practical exploration of legal digital currency and legislative regulation in foreign countries.In general,most countries in the world have some shortcomings in the legal regulation of legal digital currency,which must be improved as soon as possible.The third chapter is the analysis of the current situation of China’s legal digital currency regulation.The main purpose is to sort out the problems of the legal digital currency in the three major aspects of issuance,circulation and supporting mechanism in conjunction with the above-mentioned basic theories.In the issuance process,China’s legal digital currency may suffer from the lack of legal basis for issuance,controversial legal reimbursement,and unclear power and responsibility relationships among the participating parties;in the circulation process,China’s legal digital currency has unclear ownership transfer rules,risks of personal information leakage,and obstacles that cannot be effectively connected with the current anti-money laundering legal system and counterfeit prevention system.In terms of supporting mechanism,the current legal problems of China’s legal digital currency are analyzed from three aspects: technical operation,public payment method selection,and financial system supervision.The fourth chapter is a proposal for the legal regulation of China’s legal digital currency.The main purpose is to propose the construction and improvement of the legal regulation of legal digital currency in the three levels of issuance,circulation and supporting mechanism.In the issuance process,it is proposed that the legal basis for issuance should be established,the relevant provisions on legal compensation should be clearly applied,and the allocation of rights and responsibilities of each participating body should be clarified;in the circulation process,it is proposed that the conditions for the transfer of ownership of legal digital currency should be clarified,the protection of personal information should be increased,the anti-money laundering regulation of legal digital currency should be strengthened,and counterfeiting of legal digital currency should be prevented.In terms of supporting mechanism,the technical risk prevention mechanism of legal digital currency should be established,the protection mechanism of the right to choose the payment method should be established,and the multi-faceted financial supervision mechanism of legal digital currency should be improved,so as to reduce the risks brought by legal digital currency and ensure its stable issuance and circulation to the greatest extent.