Cryptocurrency Industry Regulations that Investors Should Look Forward to in 2019
In a talk, one of the prominent blockchain based lawyers, Joel Telpner, stated the main areas of regulation blockchain investors and enthusiasts should be looking at in the coming months. We will further discuss these three main areas in this article.
We are currently in an institutional investment phase in the cryptocurrency world as seen by the increasing number of big industry player getting into the field. Companies such as JP Morgan and Facebook are planning to launch their own stablecoins as banks across the world adopt blockchain technologies to increase efficiency reduce transaction time and fees for their consumers. Such developments cause governments and regulatory authorities to take up more regulatory restrictions on the industry which formed the discussion in the Joel-led panel discussion.
“The Token Exchanges: The Promise Of Liquidity, compliance, And stability”
The panel was held in New York at the start of March this year and consisted of various cryptocurrency and blockchain professionals including Mark Smith of Symbiont.io, Wilfred Daye of OKCoin, and Evan Malanga of Securitize. The discussion was moderated by Joel Telpner, Partner and chair of Blockchain practice at Sullivan & Worcester, specializing legal services in the blockchain industry.
Starting off the discussion, Joel structured the current cryptocurrency environment stating that the industry is struggling in the regulation sector at the moment. However, the industry is close to maturity moving from the Wild Wild West as developments in the industry pick up their pace. He also urged those in the industry to work hard in creating sustainable and efficient principles in governance and business structures. He further remarked,
“We’re all collectively paying the price at the moment, but it’s important to keep in mind that this is not a bad thing. Most all new forms of technology have experienced a high level of unreasonable exuberance in the early days and after that period, business becomes much more stable.”
The Main Areas Of Regulation Cryptocurrency Industry Needs To Focus On
Joel later in the talk offered his view on the major areas of concern that the cryptocurrency industry should expect in the near future:
Regulation Stance From CFTC
Cryptocurrencies are heavily regarded as digital assets backed by the companies that offered the token. The decentralized nature of the systems places these digital assets firmly as commodities which open a gateway for regulation developments from the Commodity Future Trading Commission according to Telpner.
The SEC Decision
The cryptocurrency world is patiently waiting on the decision from SEC on the future of ETF trading and other decisions that the top securities regulator in the US is to give later in the year. Telpner said the SEC is closely watching the field and should be expected to give a decision on the state of digital assets in the United States. The SEC will offer the cryptocurrency and blockchain field more regulatory clarity in the coming future.
Stablecoins To Be Regulated By Governments?
The question of stablecoins in the adoption quest of cryptocurrencies across the world is quite deep, especially for regulators. The asset does not identify as either a commodity or security, according to Joel, which will push more regulation towards the assets. However, new regulatory measures will be placed on stablecoins compared to those governing cryptocurrencies in general.
Joel believes the current growth of the industry will receive a boost once regulations take place. He completed his section with a positive comment saying the more companies with real business plans and startups as well will enter the digital currency space in the near future.
- Source: First Appeared Here
- Published Time: 2019-03-26 16:12:23
The views and opinions expressed in this article Cryptocurrency Industry Regulations that Investors Should Look Forward to in 2019 do not reflect that of 48coins, nor of its originally published source. Article does not constitute financial advice. Kindly proceed with caution and always do your own research. In rounding off this piece Cryptocurrency Industry Regulations that Investors Should Look Forward to in 2019, here’re the Top prominent words: Areas Of Regulation. Cryptocurrency And Blockchain. Cryptocurrency Industry. Cryptocurrency Industry Regulations. Cryptocurrency Industry Regulations That Investors. Cryptocurrency World. Governments And Regulatory. Industry Regulations. Industry Regulations That Investors. Main Areas Of Regulation. Regulations That Investors.
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