THE LATEST IN BLOCKCHAIN REGULATIONS
By design, cryptocurrency markets💹 are largely unregulated by government🏦 agencies, which they have often touted as an advantage. Decentralized finance💹 is derived from a utopian vision of a world without government control over money. The government was seen as unreliable. Regulations by government agencies have, however, been viewed as an integral part of a wide swath of consumers' adoption of cryptocurrency and decentralized finance. Regulators need not clarify what's legal and what's not. Rather, they need to clarify how regulations will be applied to crypto assets, not just what's illegal.📝
The following are discussions centered around crypto regulations.🗣
🎯 FTX's bankruptcy filing was cited as proof that the cryptocurrency industry needed strong regulation by the White House on Friday. One White House official said the White House and other agencies were monitoring the situation, saying Americans might be harmed if they don't have a clear grasp of cryptocurrencies. The well-known crypto skeptic, Brad Sherman, has also expressed plans to work with his colleagues in Congress to explore options for federal legislation that will not be influenced by the cryptocurrency industry.
🎯 In contrast, Thomas Hook, Compliance Officer at cryptocurrency exchange Bitstamp, said that regulators are responding to a constantly evolving industry, but overregulation could stifle innovation. Poorly thought-out regulation could exacerbate the problem twofold: first, it could limit US consumers' access to cryptocurrencies and second, it could discourage businesses from operating in regulated countries.
🎯 Brian Armstrong, the co-founder and CEO of Coinbase, has criticized Singapore's efforts to become a Web3 hub, while disapproving of cryptocurrency trading. After the FTX collapse, many countries will consider regulating all things crypto, given the current state of events in the crypto space. But how much will that hurt the industry? We’ll just have to wait and find out.