Understanding Bitcoin—Its Developing Regulatory Framework, and Its Risks in Distressed Situations
Author: Scott R. Bowling.
Source: Volume 29, Number 01, September/October 2015 , pp.33-44(12)
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Abstract:
The digital currency system Bitcoin is showing early signs of establishing a legal and regulatory framework. Yet much uncertainty surrounding “Bitcoin law” remains, particularly in the area of distressed transactions. As a result, transactions that involve distressed Bitcoin market participants require careful planning—and an appetite for risk. This article provides an overview of Bitcoin and the issues that may affect parties’ restructuring and investment strategies in the market for distressed Bitcoin companies.Keywords: digital currency, blockchains, Bitcoin mining, Mt. Gox, New York BitLicense, bitcoin exchange bankruptcy
Affiliations:
1: Weil, Gotshal & Manges LLP.