Cryptocurrencies vs. regulations: Which side will this coin fall

Shaun Tham, Legal Director of ChainUp shared his insights on the digital market during the Blockchain Fest 2022 this week. He acknowledged that businesses are being exposed to difficulties in this evolving environment. However, the exec remains certain that regulations look set to be in motion in the near future.

At the Blockchain Fest 2022, the future of digital asset regulations was discussed by Shaun Tham. He believes regulations are just around the corner and may be implemented soon. He also stated,

“The World Economic Forum noted in 2021 that to-date, there has been no internationally coordinated regulation of blockchain and cryptocurrencies. Moving forward, increased regulatory oversight is inevitable, and a uniform global framework should be the starting point for any meaningful attempt at regulating the industry in a practical, sustainable and enforceable manner.”

Crypto bill to hit the sweet spot

The regulatory headwinds are gaining full-force around the world. Some instances that have occurred in the recent past further highlight why the enforcement of regulations on digital assets is imminent, starting with Senator Cynthia Lummis’s latest tweet.

We’ve been teasing it for months, but the time is almost here – a proposal to fully integrate digital assets into our financial system. Excited to finally unveil this effort next week. Stay tuned ? ? ?

— Senator Cynthia Lummis (@SenLummis) June 3, 2022

Lummis signaled to the declaration on digital assets that is set to be announced next week on 7 June. She was also present at a discussion on cryptocurrencies hosted by Heritage Foundation last week.

Upon being asked about common grounds between conservatives and Bitcoin, she said that they are hopeful for a “sweet spot” with the bill. She added that instead of blocking innovation, the bill is looking to encourage it while creating a regulatory framework.

“It (the bill) includes coins that are commodities, coins that are securities, it includes stablecoins, it includes a discussion about CBDCs, consistent with what we heard earlier and a small nod to NFTs. It’s going to be bipartisan, it’s been broadly vetted by people in both parties. It’s been broadly vetted by both bureaucrats and regulators. As well as the innovative community. So we think we are on the right track, we think we have found that sweet spot.”