In an effort to get into government regulators’ good graces, Ripple and NEM have launched an official Blockchain Association in the European Union (EU). The blockchain companies have joined forces to represent the growing tech industry and serve as a beacon to usher in beneficial government regulations.
Many blockchain companies feel they are at the mercy of government legislation, what could be legal or in a grey area now could potentially be banned in the future. Countries opening up their borders and welcoming cryptocurrency-related businesses like Malta are using the new tech to help diversify their tourism-dependent economy.
The “Blockchain for Europe” association wants to stand as a point of unification and a group worth consulting about regulations as they are being determined. While it is no secret that the motive for the group forming is to please lawmakers, it will also be useful for members to collaborate and innovate together, bringing Europe into the future.
“This is a critical time for policymakers in Europe as they seek to develop the right regulatory framework to capture the benefits of both digital assets and blockchain technology,” says Head of Regulatory Relations at Ripple, Dan Morgan.
The association wants to be a source of unbiased information according to NEM co-founder Kristof Van de Reck and seeks to create a group that will operate without agenda. The more collaboration that can take place between the association and the government concerning drafting legislation the better chance companies have at building a positive relationship with EU officials and win public favor.
Many EU citizens have only heard negative things about how risky and undeveloped blockchain technology is, a stamp of approval from the government might help to sway investors and consumers. The EU Blockchain Observatory and Forum has been put in place to monitor the industry and begin to structure regulations.