One of the main topics that dominated the crypto market so far this year is the topic of regulation. The numerous black swan events that occurred last year highlighted the need for crypto regulation.Many industry participants agree that cryptocurrency regulation is the right path for the industry mainly for consumer protection.Coinbase CEO Brian Armstrong was among the executives who expressed their opinions about the industry and regulation.
As far as regulation is concerned, Armstrong noted that Coinbase sought out money transmission licenses from the beginning.<p lang=«en» dir=«ltr» xml:lang=«en»>«Crypto is the most important technology that can help update the financial system,» says @coinbase CEO @brian_armstrong. «The rest of the world is trying to draw crypto companies in.
The U.S. really risks falling behind.» pic.twitter.com/acfajzL1hI— Squawk Box (@SquawkCNBC) March 1, 2023Armstrong’s statement underscores just one of the numerous regulatory facets of the crypto industry.
The companies are easy to regulate but there is a gray area when it comes to regulating cryptocurrencies.Existing regulatory frameworks have dictated that cryptocurrencies can either be categorized as commodities or securities.Categorizing cryptocurrencies based on the rules set in place for the traditional financial system might not necessarily be the best way to go.Read more on ambcrypto.com