The combat amongst the governments and disruptive models of industry is at its fullest extent. Moreover, with the outburst of tech startups across the globe the entire market is turned upside down. The technique societies, countries as well as ecologies function has been disrupted to a noteworthy level. On the other hand, there are still certain nations that don’t have any supportive regulation for this new epoch. Nevertheless, ecosystem of the startups’ is mounting with the lightning fast speed whereas laws by the regulatory bodies are not capable to move along with this pace, particularly countries other than the United States.

Thus, all this has resulted in battle b

The combat amongst the governments and disruptive models of industry is at its fullest extent. Moreover, with the outburst of tech startups across the globe the entire market is turned upside down. The technique societies, countries as well as ecologies function has been disrupted to a noteworthy level. On the other hand, there are still certain nations that don’t have any supportive regulation for this new epoch. Nevertheless, ecosystem of the startups’ is mounting with the lightning fast speed whereas laws by the regulatory bodies are not capable to move along with this pace, particularly countries other than the United States.

Thus, all this has resulted in battle between the disruptive business startups and governments or local groups. Indeed, several startups still continue to tightrope over a very thin stripe between unlawfulness and legitimacy.

For instance, one of the biggest online payment platform PayPal, had several questions attached with its legitimacy, however, it not succeeded its survival but then became the synonym of online payments platform.

What is the current scenario?

Nowadays, Airbnb as well as Uber are the two leading startups fronting a lot of legal matters and combatting against administrations across the world however, they are certainly not the only ones. Rather, as per the conclusion every single startup, particularly all those that provided a product and a service were facing challenges related to payments.

In fact, as we refer to the business models of certain companies from past few decades, there seems to the repetition of the similar type of structure over & over again. In addition, as per that old structure the enterprises use to produce value in form of a product or else a service and then they vend their goods to the customers. Further, the consumer are ought to pay a suitable charge for the goods or service taken. In this process things are pretty clear, as the enterprise follows the rules and regulations, nevertheless they are been taxed as per the nations’ regulations.

On the other hand, talking in terms of AirBnB, Uber, oDesk, BitCoin as well as a cluster of other platforms the case is entirely different. These platforms permit every single individual user to create its own value that includes renting a spare room, offering a ride or offering any other service, then vending their product to an open global market.

For instance a seller, a freelancer or a company from oDesk is situated in India and sells services to the USA. Another instance, where a vendor of Greece with a small flat can rent an extra room to a tourist from Asia & so forth.

How can Government ensure the security of the millions of transactions by the peers?

Each and every country across the globe has its own regulations, laws and guidelines. Thus, there is a possibility that something that is legal in one nation or state, may be crossing the guidelines of another. As yet, administrations have botched in forming a set of regulations that can be accepted globally, so as to match the massive demand of global or native peer to peer trades.

For Instance, Airbnb which is legal in India, was reigned illegal in New York. Besides, business’s center at San Francisco ultimately permitted the disruptive business startups, nevertheless a lot of combats took place after that happened. Similarly, Uber also had to face several challenges in a number of countries. This was majorly because the Uber app had recently been banned across Germany. Another related challenge include opposition of government & local communities such as Taxi Drivers and backlashed.

The development of a global ecosystem of products and services is now becoming a commodity. As per a survey, conducted recently by Elance & oDesk reveals that around 1 out of every 3 the U.S citizen (approx.34% of the U.S. Workforces) are freelancing. Thus, it does not compel a precise number for proving this particular trend in even other sectors of peer to peer platforms, for instance, Lodging (AirBnb), transport (Uber) and others. Though, payments segment is yet to be rationalized, however massive waves of disruptive innovations, such as BitCoin (digital payment) as well as peer-to-peer lending, are even now impending over the global banks. Additionally, the growth of peer to peer services is intensifying as niche divisions flourish in numerous sectors these days.

On the other hand, for the governments this segment appears similar to the abyss of strange waters. Perhaps it is a region that is very much chancy for them to step in violently.

Conclusion

The Global bionetwork as well as international community is getting more & more inclined towards a Peer to Peer model, in terms of buying and selling of any kind of services.

However, governments might probably battle or even try to contempt the new bunch of things, nevertheless they will unavoidably have to take a look over the reality. Furthermore, regulations & guidelines are legislated in order to aid the residents of a country, a state or the global marketplace. Thus, it can be stated that the time for radical decision-making.