Michael Best Senior Counsel Cheryl Aaron was featured in an article by Wisconsin Law Journal article titled, “Caution is Key with Cryptocurrency,” and explored the big picture issues surrounding digital currencies.
“Cryptocurrency is an emerging technology, so the law hasn’t quite caught up with it yet. In the U.S., states have no single set of rules governing its use, if they have any rules pertaining to cryptocurrency at all. The various arms of the federal government also lack a uniform approach…”
“Generally, cryptocurrency remains largely unregulated, which means dealing with it can be risky because the protections people and companies are used to when paying with checking accounts and credit cards go away.
And then there’s the question of what happens if someone steals your bitcoins, which is just one of the many types of cryptocurrency out there…
Washington, D.C.-based derivatives lawyer Cheryl Aaron of Michael Best & Friedrich, which opened a cryptocurrency and blockchain practice last year, noted that one of the risks of accepting cryptocurrency is that it can be hacked, so businesses and their legal counsel have to ensure that whatever wallet or exchange they are using has the appropriate security measures.
‘Before anyone dives into cryptocurrency, understanding the technology and nuances behind it is important. It is not clear, right now, if you’re hacked, how you could be made whole again,’ Aaron said.”