From all the statements at the event is is fair to consider that the Senate has a rather surprisingly positive outlook for the cryptocurrency market in general. But they do however emphasis the need for more co operation with financial and trading regulators to ensure that the market is properly policed and protected. They called for more to be done on behalf of organizations like the SEC, and claim to want to work extensively with them to ensure that the cryptocurrency space is properly regulated.
Sentiment from Senators implies that the government is interested in cryptocurrencies and that they are wiling to treat them as a valid financial instrument, especially when they are in their ICO phase. They commented on the staggering $4 billion dollars that have been raised in ICO's this year and how they regret being unable to tax or regulate them, stating that they have the same qualities of an IPO but due to classifications they are unable to treat them as such. It was evident due to these types of reflections that the government wants to regulate the space in order to tax cryptocurrencies and ensure that any new entity in the market abides by the same laws as other companies do.
The Urban Affairs Committee warn of engaging in market activity as of this point as unlike traditional stock markets his new cryptocurrency space is completely unregulated and is therefore not subject to insider trading, corruption and fraud laws. They indicate that by using exchanges your funds, wallets addresses and identity is risked and that such exchanges will only be full protected when the government intervenes. They mad a point of acknowledging the interest in the market by young people who understand better the monopoly of central banking, and say that they are obligated and willing to educate young people about the benefits, dangers and uses of cryptocurrency. This comes as peaking interest in financial markets never been seen so rife amongst young people, and the fact that the organization has never conducted so many financial information programs before.
It is evident that the U.S government will be ramping up efforts to improve their regulatory stances on all cryptocurrencies and exchanges that that are traded on to ensure that investments are protected by laws and that companies abide by regulations in the space. It can be expected that the U.S and other countries will slowly regulate the space, which in the short term can seem a little disconcerting to investors, however . . . Government intervention here can definitely improve the safety of exchanges and ensure that any cryptocurrency released will abide by American Corporate laws. This will mean that more institutional investors will see the market as more solidified, just as the government is now starting to respect blockchain and cryptocurrency and making it more economically intergratable.
What do you think about these regulatory propositions for cryptocurrency and exchanges, is Government intervention good or bad for cryptocurrency?
