The crypto-verse has long suspected that the current market uncertainty has been brought about by the regulatory stalemate that is currently ongoing across the globe. The only two nations that have shown some clear direction as to how they will regulate cryptocurrencies are Thailand and South Korea. The former, through its own SEC, has approved 7 cryptocurrencies for trading in the country as well as give concrete ICO guidelines. With respect to South Korea, the authorities in the country have started the process of regulating cryptocurrency exchanges in a manner similar to how they regulate commercial banks in the country.
The recent crash that started on Friday, June 22nd, have been attributed to Japanese financial regulators ordering several cryptocurrency exchanges to improve on their practices against money laundering.
Many crypto-traders have now started predicting the outcomes that will be brought about by the American SEC finally issuing concrete guidelines on cryptocurrencies, crypto-exchanges as well as ICOs. So far, the SEC has only issued clear guidelines with respect to Ethereum when it stated the digital asset is not a security .
But the sooner the regulators make their decision, the quicker the crypto-markets will regains some stability. It is with the prospect of such an event that the co-founder of Cardano (ADA), has expressed his optimism about the entry of Institutional investors once regulation has been straightened out.
In the tweet, Charles Hoskinson is quoted as saying the following:
Once Wallstreet brings in the free capital, the crypto markets will surely blossom to levels that are the dream of every HODLer, crypto trader as well as the disliked whales in this young industry.
One response to Hoskinson’s tweet predicted an entry by Wallstreet as soon as 2023.
We are truly at the cusp of something revolutionary. As any wise man would advice during such a period of market turmoil, It Is Always Darkest Before Dawn! The situation will seem to get worse before it gets better. Once regulation has been ironed out across the globe with governments acknowledging cryptocurrencies and blockchain, there will be a pouring in of the said capital as elaborated by the tweet by the co-founder of Cardano, Charles Hoskinson.
Disclaimer: This article is not meant to give financial advice. It is an opinion piece. The opinion herein should be taken as is. Please carry out your own research before investing in any of the numerous cryptocurrencies available.
[Photo source, Time.com]