Conflicts–of–law in criptorurrencies transactions

Abstract

Technological advances have created new products and ways to market them online. Bitcoins and the decentralized transfer system associated to them, the so–called Blockchain, have revolutionized financial markets by introducing new parameters in the commercialization of cryptocurrencies that are developed in a virtual space free of borders and nationalities. The growing interest in the acquisition of virtual currencies, the lack of regulation at the national and international level and the increase in cyberattacks and thefts have raised different conflict–of–law problems. The fact operations are carried out in cyberspace between people located in different places and the decentralized nature of DLT makes it necessary to rethink the traditional connection factors, many of which are based on the situs, such as the habitual residence of the parties, the place where the contract has been concluded, the place where the company carries out its main activity or where its central administration is located, etc. In a cyber space where the transaction is carried out through the Blockchain, where the users can preserve the anonymity, traditional PIL connecting factors may be impossible to apply.