At the Hilton Midtown in New York, USA, there were appeals to the Securities and Exchange Commission of the USA (SEC) to conclude that policy formulation processes whose main mandate is to craft a regulatory framework for crypto assets.
The SEC, the Congress, House of Representatives’ committee and other Federal and State Institution started a process of creating laws and regulations with an aim of streamlining Crypto assets transactions. The move was prompted by the need to protect investors’ interests following a spike in fraud, misrepresentation, and losses that were unwarranted and a danger to the general USA economy. Although there was no timeline, it was widely expected that the process would be concluded in a matter of a month.
The Summit in Manhattan was attended by about 8500 representatives of various Blockchain firms such as startups, financial institutions, investors, academic representatives, technology leaders and many others. The attendee hoped to create an economic environment where the digital currency economy thrives powered by powerful Blockchains.
In an appeal to the US regulators, the crypto assets enthusiasts warned that if the situation of indecisiveness persists, the USA could lose its spot as the global tech leader in regards to this new technology. They allayed their fears that the uncertainty could prompt a massive exodus of Blockchain enterprises from the USA while discouraging startups from getting started.
Calls for Self-Regulation
The calls for speedy actions took a twist when some of the conference speakers reiterated their long-standing views that Cryptocurrencies have to be self-regulated. The sentiments were based on the fact that the Blockchain technology was new and regulation could change the course of technology altogether.
“Our regulators have to get their act together… We’re going to see regulation mainly by prosecutions.”
Catherine Wood, ARK Invest CEO
Ms. Wood suggested that the court cases that ensue after disputes and the investor disenfranchisement at large could be the source of the much sought-after regulation.
One of the Panelist Mr. DeWaal, thinking on Ms. Wood ‘s standpoint said that the current regulations, hurriedly put together by the regulators, were largely ineffective and could not address the problem, let alone being relevant. Mr. DeWaal appealed to the regulators’ representatives at the summit to let the markets be free from regulations at least to test the waters of what the markets could do. This was in recognition of the fact that blockchains are decentralized and therefore incorruptible.
One representative from Japan, Yuzo Kano supported the idea of self-regulated organization citing the Japanese story success. The SRO is touted as the force behind the formulation of Japan’s laws on Cryptocurrencies. Yuzo’s opinion is expected to influence a change of heart on Brian Quintez, a commissioner from the U.S. Commodity and Futures Trading Commission (CFTC), who had suggested regulation of Ethereum’s Ether coin.
Meanwhile, as the future of Cryptocurrencies was being fiercely debated about in Manhattan, Seminole County in Florida rolled out a plan of accepting Cryptocurrencies as payments for county services and taxes. The trend is likely to grow following the rollout of the same program in various counties of California and similar proposals in New York State Counties.