Internet architecture and the layers principle: a conceptual framework for regulating Bitcoin
Bitcoin is the first decentralised, peer-to-peer network that allows for the proof and transfer of ownership of virtual currencies without the need for a trusted third party. It has created a platform for tremendous financial innovation, but at the same time the role of traditional regulatable finan...
| Main Author: | |
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| Format: | Article |
| Language: | English |
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Alexander von Humboldt Institute for Internet and Society
2014-08-01
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| Series: | Internet Policy Review |
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| Online Access: | https://policyreview.info/node/289 |
| _version_ | 1826547185079025664 |
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| author | Andy Yee |
| author_facet | Andy Yee |
| author_sort | Andy Yee |
| collection | DOAJ |
| description | Bitcoin is the first decentralised, peer-to-peer network that allows for the proof and transfer of ownership of virtual currencies without the need for a trusted third party. It has created a platform for tremendous financial innovation, but at the same time the role of traditional regulatable financial intermediaries is bypassed. The purpose of this article is to address the important policy question of how we can capture Bitcoin’s potential benefits for the economy while addressing new regulatory challenges. To do so, we first conceptualise the Bitcoin ecosystem through the layered model of internet architecture. Second, we apply the layers principle of internet governance to identify control points and guidelines for regulation that respect the integrity of the layers. Third, we conclude with the need for governments to adopt an adaptive and novel regulatory approach to ensure that society can benefit from Bitcoin’s revolutionary potential. This work forms a baseline for further understanding of the governance of Bitcoin and the various actors within the ecosystem based on the layers principle of internet architecture. |
| first_indexed | 2024-12-23T20:00:23Z |
| format | Article |
| id | doaj.art-a483e8da1016429383033a77294f6ee5 |
| institution | Directory Open Access Journal |
| issn | 2197-6775 |
| language | English |
| last_indexed | 2025-03-14T05:45:38Z |
| publishDate | 2014-08-01 |
| publisher | Alexander von Humboldt Institute for Internet and Society |
| record_format | Article |
| series | Internet Policy Review |
| spelling | doaj.art-a483e8da1016429383033a77294f6ee52025-03-05T13:45:02ZengAlexander von Humboldt Institute for Internet and SocietyInternet Policy Review2197-67752014-08-013310.14763/2014.2.289Internet architecture and the layers principle: a conceptual framework for regulating BitcoinAndy Yee0GoogleBitcoin is the first decentralised, peer-to-peer network that allows for the proof and transfer of ownership of virtual currencies without the need for a trusted third party. It has created a platform for tremendous financial innovation, but at the same time the role of traditional regulatable financial intermediaries is bypassed. The purpose of this article is to address the important policy question of how we can capture Bitcoin’s potential benefits for the economy while addressing new regulatory challenges. To do so, we first conceptualise the Bitcoin ecosystem through the layered model of internet architecture. Second, we apply the layers principle of internet governance to identify control points and guidelines for regulation that respect the integrity of the layers. Third, we conclude with the need for governments to adopt an adaptive and novel regulatory approach to ensure that society can benefit from Bitcoin’s revolutionary potential. This work forms a baseline for further understanding of the governance of Bitcoin and the various actors within the ecosystem based on the layers principle of internet architecture.https://policyreview.info/node/289BitcoinCryptocurrencyFinanceInternet architectureInternet governance |
| spellingShingle | Andy Yee Internet architecture and the layers principle: a conceptual framework for regulating Bitcoin Internet Policy Review Bitcoin Cryptocurrency Finance Internet architecture Internet governance |
| title | Internet architecture and the layers principle: a conceptual framework for regulating Bitcoin |
| title_full | Internet architecture and the layers principle: a conceptual framework for regulating Bitcoin |
| title_fullStr | Internet architecture and the layers principle: a conceptual framework for regulating Bitcoin |
| title_full_unstemmed | Internet architecture and the layers principle: a conceptual framework for regulating Bitcoin |
| title_short | Internet architecture and the layers principle: a conceptual framework for regulating Bitcoin |
| title_sort | internet architecture and the layers principle a conceptual framework for regulating bitcoin |
| topic | Bitcoin Cryptocurrency Finance Internet architecture Internet governance |
| url | https://policyreview.info/node/289 |
| work_keys_str_mv | AT andyyee internetarchitectureandthelayersprincipleaconceptualframeworkforregulatingbitcoin |