A new directive from the European Data Protection Committee (EDPB) threatens to seriously undermine the foundations of Bitcoin (BTC) within the European Union. According to Alexandre Stachtchenko, Chief Strategy Officer of the French Crypto Fair Paymium, the proposed legislation can even lead to Bitcoin being considered illegal in Europe.
EDPB guidelines focus Bitcoin on
The EDPB is working on new guidelines on processing personal data within blockchain technologies. What makes these guidelines so controversial is the proposal to classify private keys for crypto-wallets as personal data.
According to Stachtchenko this is problematic, because it would mean that such data, and therefore also blockchain transactions, should be deleted.
But the nature of the blockchain simply does not allow that. Once registered data are unchangeable. Nevertheless, the committee states in the guidelines: “Technical impossibility cannot be invoked to justify the non-compliance with the GDPR requirements.”
Stachtchenko calls this approach “classical EU policy”, where reality must join the rules rather than the other way around.
Removal of the entire blockchain?
The guidelines acknowledge that removing data within a blockchain is technically challenging. Nevertheless, it is stated that, if individual removal is not possible, “the entire blockchain” must be removed. This would mean that all copies that are stored by nodes or third parties must also disappear. An almost impossible task. The document literally states:
“If this removal of part of the blockchain requires, including copies stored by nodes or other parties, controllers must ensure that sufficient technical and organizational measures have been taken to do so.”
According to Stachtchenko, anonymizing data also offers no solution. In some areas of law, anonymous transactions are already classified as suspicious or even as a criminal.
The possible consequences are therefore not tender. “Bitcoin could thus become de facto illegal in Europe,” warns Stachtchenko. He therefore calls on everyone to give feedback on the proposal via this link via this link, as long as the public consultation is still open.
Source: https://newsbit.nl/nieuwe-europese-regels-kunnen-bitcoin-de-nek-omdraaien/
