Jurisdiction Split

Definition ∞ A jurisdiction split refers to the divergence in legal and regulatory approaches taken by different governmental authorities concerning digital assets or blockchain technology. This creates varied operational environments across regions, impacting how businesses operate and how assets are classified. It highlights a lack of global regulatory harmonization.
Context ∞ News often reports on jurisdiction splits as governments worldwide develop their frameworks for cryptocurrencies, stablecoins, and decentralized finance. These differences pose challenges for international businesses seeking to operate compliantly across multiple markets. Efforts towards regulatory coordination and the implications of conflicting rules are frequent topics of discussion.