More crypto regulation is coming, industry execs say

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Over the past few years, regulatory bodies across the globe have increased their scrutiny on the cryptocurrency space, clarifying gray areas while also going after offenders. Although the industry has seen a lot of regulatory action, authorities have not really changed their positions, at least according to Alex Wearn, CEO and co-founder of decentralized crypto exchange IDEX. 

“Crypto regulation itself hasn’t really changed the last few years,” Wearn told Cointelegraph. “Instead what we’ve seen is an increase in enforcement actions, and stronger guidance from regulatory bodies,” he added. “I believe we’ll continue to see enforcement actions that help businesses and entrepreneurs understand what types of activities are allowed and what are not.”

Once called the Wild West, the crypto industry has matured in many ways. After a year filled with excessive speculation, hype and fundraising in 2017, various national and international authorities stepped in while the digital asset markets underwent a multi-year decline. 

Now, several years later, regulation commonly headlines crypto media. Recent weeks have only seen an increase in governmental action. The U.S. Department of Justice and the Commodity Futures Trading Commission recently brought charges against major crypto derivatives exchange BitMEX, for example. Regulatory authorities, however, have also clarified certain guidelines, as seen in the Office of the Comptroller of the Currency’s statement on banks’ crypto custody abilities. Additionally, many countries obviously view digital asset technology as important as they each essentially compete in a race toward their own central bank digital currency, or CBDC.