IN THIS EDITION Virtual currencies – a growing need to regulate?Virtual currencies ("VCs") are non-physical stores of value that can be exchanged for goods and services at places that accept them. There is no central bank that issues them; instead, they are operated under VC schemes, either maintained by a centralised VC operator, or by a community of VC users. Typically traded electronically, VCs may be used to purchase products and services and may be transferred from one user to another. They are not denominated in fiat currency, such as the US dollar, but can be purchased using such currencies. Examples of VCs include WebMoney and Perfect Money (centralised VC schemes) and Bitcoin, Litecoin and Namecoin (decentralised VC schemes).
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