Crypto-Friendliness: Understanding Blockchain Public Policy

Abstract

The purpose of this paper is to conceptualise the chief aspects of policy interest in blockchain technology. Favourable policy dispositions towards blockchain technology are interpreted as political efforts to develop local, blockchain-enabled economies. So-called "crypto-friendly" jurisdictions proactively clarify regulatory and tax treatments of cryptocurrency and other blockchain applications, and trial blockchain uses in fields predominated by public sector activity. Policymakers in countries hostile toward blockchain-related activity have instigated bans or strict limitations with respect to blockchain engagement by developers and users. This paper provides insight to policymakers and blockchain practitioners regarding the attributes of accommodative policies toward distributed ledger technology.

Keywords: blockchain, entrepreneurship, public policy, regulation, taxation

JEL Classification: O33, O38, H20, K20, P50