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European Parliament Petitioned to Create Crypto Crime Compensation Fund

01/19/2021
European Parliament Receives Petition to Create a Crypto Crime Compensation Fund

A petition has been submitted to the European Parliament, asking to implement a scheme to compensate crypto-related victims. The crimes talked about within the petition 0421/2020 embrace fraud, piracy, and extortion.

Petition’s Writer Represents Victims within the Bitsane Alleged Rip-off Case

Based on the creator, lawyer Jonathan Levy, the petition asks the bloc to implement a sequence of regulatory schemes to “compensate victims” of crypto-related crime actions.

He identified that, up to now, “no crypto asset funding has been put aside to compensate the victims of straight associated legal actions” within the European Union (EU). The lawyer proposes implementing a .0001 cent per euro payment on crypto transactions, which is able to go to a “sufferer superfund.”

Per the petition, crypto-related crime victims have “tried to recoup their losses in numerous methods,” equivalent to authorized proceedings in nationwide courts throughout the EU. Nevertheless, Levy says, “none of those cures has been profitable owing to the multi-jurisdictional nature” of the crypto transactions.

The doc continues to elaborate on the matter:

The petitioner [Levy] notes that neither the Fee nor the European Ombudsman have declared themselves competent on this matter. He urges the European Parliament to behave straight to assist the victims of crypto-active crimes as a part of its EU technique for the creation of a real single marketplace for digital monetary companies.

Levy is thought within the crypto sphere for representing victims of an alleged exit rip-off by Irish crypto alternate Bitsane. He referred to this case for instance of how Irish authorities “had achieved little or nothing” to trace stolen funds.

As of press time, the lawyer claims the stolen sufferer funds exceed the $1 billion threshold.

European Fee Rejected the Creation of a Crypto Fraud Compensation Fund in 2020

The petition 0421/2020 has 48 supporters to date. Additionally, its standing stays as “obtainable to supporters” on the European Parliament web site.

However the feasibility of the petition remains to be uncertain. On October 21, 2020, information.Bitcoin.com reported that the European Fee (EC) expressed its opposition to making a 0.0001 cent per euro payment crypto crime sufferer superfund.

The Fee argued that many of the crypto crimes happen outdoors the EU jurisdiction. Additionally, they claimed to not have the competence to arrange and administer such a fund.

What are your ideas on the petition submitted to the European Parliament? Tell us within the feedback part beneath.