Industry experts and leaders blockchain companies put forward to the regulators requirements to clarify the legal status of the cryptocurrency. Thailand for example has demonstrated how this can be done, even if the policy of the state towards cryptocurrency restless.
Regulation is often credited with the blame falling prices of cryptocurrencies, but in light of the six-month bear market that determines 2018, it seems that financial innovation needs regulatory clarity. During the “London Tech Week” the main topic of discussion was to discuss the need for a clear regulation.
Speaking at the conference “zeroing is completed In On Europe” on 16 June, a former investor Blackrock Adam Grimsley, co-founder of Prime Factor Capital said :
“Concern volatility, liquidity shortages and regulatory uncertainty was more than enough to prevent the appearance in the arena of so-called traditional smart money”.
CEO of Coinbase UK, Zeeshan Feroz, gave a speech in which he stated that the industry needs to work with existing financial institutions and educate them before we can reach crypto “utopia”:
“From the point of view of the government, we have to interact with him. The most important step at this stage is the adjustment that will give businesses some certainty and provide a framework which will help their development.”
Blockchain project Monaco informed the citizens of the United States, India, Hong Kong and Singapore, they are excluded from participation in ICO because of the “excessive risk of intervention by regulators.” Instead of having to interact with market regulators, the ICO could apply protective restrictions to protect themselves, losing further funding and development of the industry.
Thailand, in turn, showed how governments can provide a clear regulation of the cryptocurrency. In may, the state has adopted a regulatory framework for “digital assets and digital tokens”. The bill sets out the requirements for the ICO to register with the SEC of Thailand, to ensure that they conform to existing laws. Although taxes are currently quite high, it proves that governments can successfully regulate the industry.
To achieve the same clarity, the United States should decide which bodies regulate cryptocurrencies. Around the world other countries need to accelerate the adoption of regulatory frameworks. In Europe, until now there were no rules, except for the EU agreements on the fight against money laundering.