Mum, what’s the regulated financial sector like?

My daughter asked what sort of world she might be entering when her Bitcoin business becomes regulated under the European Banking Authority’s vision for virtual currencies. I didn’t have further to look than the last two week’s news:

• BNP Paribas fined $8.9bn for sanctions violations
• US Court blocks Argentina from making $539m interest repayments
• Portugal confidence wobbles over financial health of Banco Espirito Santo
• Austria winds-up Hypo Alpe-Adria Bank after unsuccessful rescue attempts
• UK’s FCA & PRA broaden review of HBOS bank failings.

So, that’s what the EBA has in mind for us when it says it wants virtual currencies brought into the stable, high-integrity regulated sector. A brave new world to look forward to!