Regulating Bitcoin is “futile and pointless”, given its secure construction and the flexibility it affords its owners to trade them where pro-crypto rules are enforced, the hereditary prince of Serbia has said.
The world’s first and biggest cryptocurrency, which hit $100,000 last week, should be allowed to be traded freely because users will just be able to go around any restrictions imposed on it, Philip Karageorgevitch told The National at the Bitcoin Mena conference in Abu Dhabi on Monday.
“Regulating Bitcoin is futile because you can just go around it. Those who have Bitcoin will find out [they can just] go to where it's unregulated and they're free to use it,” Mr Karageorgevitch, who is also an early Bitcoin advocate, said.
“I'm not saying that we can't regulate Bitcoin, I'm just saying that it's futile and I think it's pointless … it acts more like a commodity such as gold and it's something that should be treated completely different with no regulations at all.”
As an example, if some levy, such as a capital-gains tax, is imposed on Bitcoin, people can keep their Bitcoin and sell it elsewhere tax-free, rendering the tax imposition moot.
“They'll just store it and find an opportunity later in the future and in another jurisdiction,” Mr Karageorgevitch said.
That would have some ill effects, including forcing the creation of a grey market as Bitcoin owners try to dodge regulations and “surveillance”.
The secure and unregulated nature of Bitcoin is what makes it work and grow in appeal. However, he stressed that the line has to be drawn between Bitcoin and other cryptos.
Bitcoin is acquired by a process called mining, which is solving complex mathematical problems to extract the cryptocurrency. That also serves as its proof of work, which is what ties Bitcoin to its owner.
“Since its inception up until now, Bitcoin has been indestructible and immutable. And that is very important,” Mr Karageorgevitch said, noting that Bitcoin would not suffer the same fate as FTX and Celsius Networks.
“Bitcoin doesn't really care about regulations, but I think cryptos should have because of all the scams happening to them,” he said.
The issue of regulating Bitcoin and other cryptocurrencies has been a hot topic as the technology continues to grow in adoption. Jurisdictions have regulations in one form or another to rein in these digital assets.
Their unregulated and speculative nature, price volatility and the risk of illicit activity such as money laundering are among the reasons why central banks around the world have been reluctant to endorse them.
There have been efforts to draw up standard regulations over the years. It is unclear if this will gain traction with the upcoming administration of president-elect Donald Trump, who has embraced crypto, sparking a surge in Bitcoin and other digital assets.
Bitcoin has risen 40 per cent in the two weeks after Mr Trump won the US election. It has increased by about half since the November 5 polls, leading a crypto sector whose market capitalisation is now at more than $3.6 trillion, data from CoinMarketCap shows.
Mr Karageorgevitch acknowledged that Bitcoin is still new and people still do not understand what it means for the future of transactions. However, a jurisdiction having a libertarian approach of letting the market decide is also beneficial for it to expand and be more accepted, he said.
“Bitcoin is the only opportunity that will ever have a digital scarcity. It is the only cryptocurrency that matters and the rest are securities, which should be regulated to some extent to protect the end user,” he said.
VEZEETA PROFILE
Date started: 2012
Founder: Amir Barsoum
Based: Dubai, UAE
Sector: HealthTech / MedTech
Size: 300 employees
Funding: $22.6 million (as of September 2018)
Investors: Technology Development Fund, Silicon Badia, Beco Capital, Vostok New Ventures, Endeavour Catalyst, Crescent Enterprises’ CE-Ventures, Saudi Technology Ventures and IFC
The specs
Engine: 4.0-litre V8 twin-turbocharged and three electric motors
Power: Combined output 920hp
Torque: 730Nm at 4,000-7,000rpm
Transmission: 8-speed dual-clutch automatic
Fuel consumption: 11.2L/100km
On sale: Now, deliveries expected later in 2025
Price: expected to start at Dh1,432,000
PROFILE BOX
Company name: Overwrite.ai
Founder: Ayman Alashkar
Started: Established in 2020
Based: Dubai International Financial Centre, Dubai
Sector: PropTech
Initial investment: Self-funded by founder
Funding stage: Seed funding, in talks with angel investors
Engine: 3.5-litre V6
Transmission: eight-speed automatic
Power: 290hp
Torque: 340Nm
Price: Dh155,800
On sale: now
if you go
The flights
Etihad and Emirates fly direct to Kolkata from Dh1,504 and Dh1,450 return including taxes, respectively. The flight takes four hours 30 minutes outbound and 5 hours 30 minute returning.
The trains
Numerous trains link Kolkata and Murshidabad but the daily early morning Hazarduari Express (3’ 52”) is the fastest and most convenient; this service also stops in Plassey. The return train departs Murshidabad late afternoon. Though just about feasible as a day trip, staying overnight is recommended.
The hotels
Mursidabad’s hotels are less than modest but Berhampore, 11km south, offers more accommodation and facilities (and the Hazarduari Express also pauses here). Try Hotel The Fame, with an array of rooms from doubles at Rs1,596/Dh90 to a ‘grand presidential suite’ at Rs7,854/Dh443.
MATCH INFO
Norwich City 0 Southampton 3 (Ings 49', Armstrong 54', Redmond 79')
Specs
Engine: 51.5kW electric motor
Range: 400km
Power: 134bhp
Torque: 175Nm
Price: From Dh98,800
Available: Now
Review: Tomb Raider
Dir: Roar Uthaug
Starring: Alicia Vikander, Dominic West, Daniel Wu, Walter Goggins
two stars
SRI LANKA SQUAD
Upul Tharanga (captain), Dinesh Chandimal, Niroshan Dickwella
Lahiru Thirimanne, Kusal Mendis, Milinda Siriwardana
Chamara Kapugedara, Thisara Perera, Seekuge Prasanna
Nuwan Pradeep, Suranga Lakmal, Dushmantha Chameera
Vishwa Fernando, Akila Dananjaya, Jeffrey Vandersay
Pharaoh's curse
British aristocrat Lord Carnarvon, who funded the expedition to find the Tutankhamun tomb, died in a Cairo hotel four months after the crypt was opened.
He had been in poor health for many years after a car crash, and a mosquito bite made worse by a shaving cut led to blood poisoning and pneumonia.
Reports at the time said Lord Carnarvon suffered from “pain as the inflammation affected the nasal passages and eyes”.
Decades later, scientists contended he had died of aspergillosis after inhaling spores of the fungus aspergillus in the tomb, which can lie dormant for months. The fact several others who entered were also found dead withiin a short time led to the myth of the curse.
UPI facts
More than 2.2 million Indian tourists arrived in UAE in 2023
More than 3.5 million Indians reside in UAE
Indian tourists can make purchases in UAE using rupee accounts in India through QR-code-based UPI real-time payment systems
Indian residents in UAE can use their non-resident NRO and NRE accounts held in Indian banks linked to a UAE mobile number for UPI transactions
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Muslim Council of Elders condemns terrorism on religious sites
The Muslim Council of Elders has strongly condemned the criminal attacks on religious sites in Britain.
It firmly rejected “acts of terrorism, which constitute a flagrant violation of the sanctity of houses of worship”.
“Attacking places of worship is a form of terrorism and extremism that threatens peace and stability within societies,” it said.
The council also warned against the rise of hate speech, racism, extremism and Islamophobia. It urged the international community to join efforts to promote tolerance and peaceful coexistence.
MOUNTAINHEAD REVIEW
Starring: Ramy Youssef, Steve Carell, Jason Schwartzman
Director: Jesse Armstrong
Rating: 3.5/5
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UAE currency: the story behind the money in your pockets
