- This topic has 3 replies, 2 voices, and was last updated 6 months, 4 weeks ago by PrinceZero1994.
- Sunday, May 15th, 2022 at 12:57 #274037Cora_dnParticipant
Pablo Hernández de Cos, the governor of the Bank of Spain and a member of the Basel Committee on Banking Supervision, detailed how he feels cryptocurrency regulation should be handled. Hernández de Cos, stated that cryptocurrencies and decentralized finance markets must be regulated quickly before they may threaten the financial stability of the economy.
Despite this meteoric rise, cryptoassets still account for less than 1% of total global financial assets, and institutions’ direct exposure is still limited. We also know that such markets have the potential to grow quickly, posing hazards to individual institutions as well as overall financial stability.
In addition, the governor advocated for a “proactive and forward-looking regulatory and supervisory approach” to the issue, claiming that there can be a balance struck between adopting modern innovations while also limiting their hazards.
According to him, that the market is not as decentralized as it claims to be, and that characteristics like “robustness” and “stability” cannot be assigned to cryptocurrencies.
In my opinion a legal framework for Crypto is a two wat street it could either aid its growth and help streamline their mainstream adoption or it could stifle its growth and suffocate innovation in the blockchain ecosystem. Legislations governing cryptocurrencies in my opinion should be made to enable an system where cryptocurrencies and blockchain technology thrives due to the innovative nature of it’s technology.
The Block chain ecosystem is experiencing phenomenal growth with innovatadoption ects developing catering to different needs within the space such as Chainlink the first and most successful oracle for Ethereum, RenderToken is a graphic rendering network that lets miners with excess graphics processing unit bandwidth parcel it out to artists and creative studios that need extra computing power, Minosis token is a deflationary hedge for the Minosis company a cryptocurrency mining company that allows users to join mining pools to earn rewards, provides mining software, and sources mining hardware. A comprehensive legislation might aid the adoption of Block chain technology in our day to day activities while also attracting institutional and retail investors has their are protected by the law.
We have seen countries like El Salvador and Central African Republic adopt cryptocurrencies and others like Nigeria outrightly ban it’s use. Cryptocurrencies are an innovative technology government not adopting of will stifle it’s mainstream adoption and the government around the globe if they adopt them might want to control their use to the letter by enacting strict laws.
It will be interesting to see how the crypto and block chain technology develop.
I am the only one who thinks government will try to control cryptocurrencies and blockchain through legislations.Sunday, May 15th, 2022 at 13:03 #274038ipetgoat1984
Regulation will make certain people feel more comfortable when investing their money, and turn the diehard decentralized veterans off. It’s a double-edged sword.Sunday, May 15th, 2022 at 13:07 #274039Ap3X_GunT3R
Regulation done well will absolutely help crypto grow.
That being said who fucking knowsSunday, May 15th, 2022 at 13:23 #274040PrinceZero1994
Regulation will bring the normies in. Decentralization will ascend them.
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