- There is a probability that altcoins may go down due to certain regulations on the firm.
- A lot of electricity consumption due to the utilization of Proof-of-Work (PoW) blockchain and the lack of unregistered securities.
- The transition of crypto assets to Proof-of-Stake (PoS) may help in the reduction of energy consumption.
In a recent interview, the well-known crypto analyst, Benjamin Cowen, stated that there might be a probability of an altcoin decline due to its certain measurements on the firm. He said that crypto regulators must follow certain guidelines to combat certain issues like excess energy utilization in Proof-of-Work (PoW) blockchain and that there is a lack of unregistered securities on the platform.
“I do think altcoins have to go down badly. Not just in relation to the US dollar, but also in relation to bitcoin, and I think the narrative that will fuel this will be the regulatory concerns for the altcoin market.”
The United States Securities and Exchange Commission (SEC) chairman, Gary Gensler, added that Ethereum can be considered as a security exchange due to the new transition of Ethereum into Proof-of-Stake (PoS). According to the developers of “the Merge”, the transition will help to reduce the production of carbon and also to reduce energy consumption. In addition to that, PoS provides a lower number of miners and computers to stake.
In his interview, Cowen added that in the recent lawsuit that was filed against the XRP or Ripple, many exchanges that included the XRP were delisted in the United States. What will the consequences be if the same thing happens to the other altcoins? he questioned.
“Think back to when the SEC filed a lawsuit against Ripple. Many exchanges have delisted Ripple or XRP in the U.S. They have temporarily delisted it, and what if that’s like the tip of the iceberg of what’s going to happen to the altcoin market?”
Recently, the great author of the most popular book, “Rich Dad Poor Dad ”, Robert Kiyosaki, stated that one of the best times to get rich is during a currency crash. He advised investors to start investing in crypto assets. But it will be possible with certain regulations on crypto assets.
Source: https://www.thecoinrepublic.com/2022/09/20/benjamin-cowen-stated-that-there-is-a-possibility-of-altcoin-declinement/