Since 2018 we’ve anticipated government regulation to swoop in and regulate the cryptocurrency space in one swoop and it just won’t work that way, not in the United States anyway. This is a process and the one thing that you can rely on is the Securities and Exchange Commission or the Commodities Futures Trading Commission making the public aware of it as it is being discussed to happen.
It’s a slippery slope if a regulatory body would haphazardly seek to impose regulation in a day without notice to the public. So if we know this then why does the public succumb to the hype spread on social medial such as Twitter and Telegram?
It’s because people who invest in cryptocurrency are used to the fast paced up and downs, so quick imposing of regulation should be expected right? WRONG!
The first big step and I’ve been talking about this on Money Never Sleeps Radio and that was Coinbase going public, that is a game changer as it just placed a cryptocurrency exchange in the hands of the public and of the Securities and Exchange Commission has to act, see this is where you will see heavy regulation come forward and that is on the cryptocurrency exchanges and rightfully so but again it will be piece mealed out.
Any aggressive and substantial imposing of regulations can and will bring the crypto market to a slow drip and this is something that the regulators don’t want to do. They do not want to prevent growth, so the process will be well thought out and then brought to light , plus with the new SEC Chairman Gary Gensler being sworn in, who is a cryptocurrency expert, well you can definitely expect regulation but regulation done right.
With any evolution there are growing pains and this is what is happening now, growing pains as the world tries to figure out how to handle this new technology, a technology that is not a fad and not going away. Make no mistake every government at some point in time will have a crypto asset as their central currency, albeit centralized but as I have said so many times decentralized or centralized it doesn’t matter but the utility is what ultimately matters with any cryptocurrency.
So don’t believe all the hype that you read on social media, wait for the action to come from the regulators directly.
– Louis Velazquez – Managing Partner FGA Partners www.fgapartners.com