Can Crypto Self Regulate? CTFC Commissioner Wants Industry To Try
No doubt, Crypto regulations are here to stay. Now it’s a question of who will create the governing rules?
At yesterday’s Senate hearing, details about how and why crypto regulation is necessary were discussed at length. Overall, the tone of the hearings was cautiously optimistic, which is reasonably good news for investors and those considering investing.
After the hearing, Brian Quintenz, a member of the Commodity Futures Trading Commission suggested perhaps the industry could and should regulate itself.
On Tuesday at a cryptocurrency event in New York, Quintenz pointed out, ”One of the other takeaways from yesterday was you didn’t hear either chairman say ‘no, absolutely not, this is not safe, we must stop this at all costs.’ No one said that.”
The reason Quintenz and others felt that the industry should self-regulate is due to the nature of how long passing and enacting new regulations about cryptocurrency in the U.S. will take. That, combined with the fact that the market is worldwide, means that digital currencies might do well in self-regulating ahead of government regulations. In that way, they can help set the framework for possible future laws surrounding the new technology.
Adam White, the general manager of the Coinbase’s GDAX, also said that the group plans to be open to working with the government on the issue. He said, ”I think we embrace regulation at Coinbase. We recognize that regulations are a complementary part of the financial system in many ways.”
Others in the marketplace also embrace regulation like Ripple andBitPesa.
Ultimately, investors shouldn’t fear regulation, and instead, they should seek to back entities and cryptocurrencies who openly work with governments for realistic regulation as the entire system moves forward and grows.