TorGuard Accepts Payments Via Lightning Network

Users can now pay for TorGuard's services in bitcoin using Lightning Network
11 January 2018   664

TorGuard, the virtual private network (VPN) service, announced on January 8 that users can now pay for its services in bitcoin using Lightning Network, significantly reducing transaction times and fees.

According to the firm’s representatives, an invoice fee for one month of service costs only 1 satoshi. If a user has a mainnet node for LN they can contact the company and set up a transaction using the protocol. Users must have funds to set up a channel with Torguard and the initial transaction fee to get started.

TorGuard

In the end of December, Bitrefill, an online service that enables users top up their prepaid mobile phone plans with bitcoin and litecoin, announced that it has completed the first “real” LN transaction on bitcoin’s mainnet for an online purchase at Bitrefill.

German Financial Regulator Clarifies Stance on ICOs

The Bundesanstalt für Finanzdienstleistungsaufsicht (BaFin) has clarified its position on ICOs
22 February 2018   29

German financial regulator admitted it was receiving many inquiries about the status of tokens and cryptocurrencies. According to an advisory letter, BaFin provides some basic definitions of ICOs and related terms. It is important because the results of a new survey showed that more than two-thirds of Germans know about bitcoin.

In this letter, BaFin educates the public and explains how tokens are typically generated, how blockchain works and that ICOs are used to raise funds for startup projects. The note states that for regulatory purposes, ICOs, tokens, coins, and cryptocurrencies are subject to the existing provisions in the field of securities supervision and other relevant national and EU laws.

The authority advises participants in ICOs to check and follow rules applicable to regulated financial instruments, such as securities. If businesses or individuals have any doubts about regulations, they should approach BaFin.

According to BaFin, companies should fulfill any obligations under the Banking Act and the Capital Investment Code, the Insurance Supervision Act and the Payment Services Supervision Act. The transactions may be prohibited if relevant regulatory requirements are not met.

The authority also states that legal classification of tokens requires precise examination. It will determine their status on a case-by-case basis after studying their features. The token should be transferable and tradable on cryptocurrency trading platforms in order to be classified as a security.