How far will regulators go?

[Abiky]

Each day, regulators tighten their stance against crypto with the aim of protecting the industry against money laundering and other illicit activities. This "legalizes" crypto to a point where it's "safe" enough for investors and average individuals to buy/sell crypto assets. But the more regulated crypto gets, the less freedom a person will have. Regulators are shutting down centralized mixers, and are now holding privacy protocol developers accountable for their actions.

I wonder how far will regulators go? Will we reach a point where it will be impossible to launch a new crypto without the approval of regulators (in this case, the government)? Those caught making their own crypto or token and launching it to the public without the consent of the government, could either face fines or imprisonment.

What are your thoughts?

[Baghdad]

Digital assets to the tax man is a property and commodity, the crypto regulation policies hardens by minutes, countries, Canada, UK, US, etc adds regulation to stable coins for money laundry purposes. Yes, expect that time to become, a bill is there that asks stable coin issuers to present an equivalent asset or money to cover for the number of coin in distribution. the time is very close for other coins, to underpass a similar strict law. [quote

[MAAManda]

I wonder how far will regulators go? Will we reach a point where it will be impossible to launch a new crypto without the approval of regulators (in this case, the government)? Those caught making their own crypto or token and launching it to the public without the consent of the government, could either face fines or imprisonment.

Maybe they will go that far. BTW, in the case of people launching coins or tokens with malicious intent, I think I'll side with the regulator. We've seen firsthand how those fake developers have made people skeptical of crypto as a whole. The mixer shutdown was also motivated by the many illegal activities, they became ink in clear water. IMO, regulators will not venture into areas they shouldn't be in, they will simply carry out their duties as enforcers of justice, that's all I've in mind.

[Dunamisx]

Each day, regulators tighten their stance against crypto with the aim of protecting the industry against money laundering and other illicit activities. This "legalizes" crypto to a point where it's "safe" enough for investors and average individuals to buy/sell crypto assets.

Everyone of us are not investing because of the condition of crypto being regulated by the government or their institution, a typical reason to this is when you made any mistake to go to your asset hacked or being scammed, the same regulators will definitely fail you because they cannot help with the situation towards recovering back your assets to you, so all they do is only to fight for their own personal interest and not the general interest.

[jossiel]

Each day, regulators tighten their stance against crypto with the aim of protecting the industry against money laundering and other illicit activities. This "legalizes" crypto to a point where it's "safe" enough for investors and average individuals to buy/sell crypto assets. But the more regulated crypto gets, the less freedom a person will have. Regulators are shutting down centralized mixers, and are now holding privacy protocol developers accountable for their actions.

I wonder how far will regulators go? Will we reach a point where it will be impossible to launch a new crypto without the approval of regulators (in this case, the government)? Those caught making their own crypto or token and launching it to the public without the consent of the government, could either face fines or imprisonment.

What are your thoughts?

I hope that they get into that point, we've got so much cryptos already that anyone can make it.

And so if a regulator is requiring that for any developer, this can also reduce the rampant scams that are happening through new projects.

That's one of the advantage that we might get if they get to that point. Since the privacy we're getting is also reduced, we might just get some incentives like that to lessen the victims falling for the projects that have the intent to scam.

[o48o]

Each day, regulators tighten their stance against crypto with the aim of protecting the industry against money laundering and other illicit activities. This "legalizes" crypto to a point where it's "safe" enough for investors and average individuals to buy/sell crypto assets. But the more regulated crypto gets, the less freedom a person will have. Regulators are shutting down centralized mixers, and are now holding privacy protocol developers accountable for their actions.

I wonder how far will regulators go? Will we reach a point where it will be impossible to launch a new crypto without the approval of regulators (in this case, the government)? Those caught making their own crypto or token and launching it to the public without the consent of the government, could either face fines or imprisonment.

What are your thoughts?

Imho there is just not one ideology when it comes to regulations... There are several different political standpoints and any side could win, even the dumb uniformed side.

I don't get this attack against protocols, like open sourced code could be illegal. It's like saying that linux and python should be illegal because hackers (or crackers) are using them.

Mostly all parties agree that we need to do something about money laundering, and that we need some sort of auditability to enforce accountability.

Let's remember that when we are talking about launching cryptos, then seeking people to fund crypto projects, is very different from having a fair launch on some PoW coin.

[Ahli38]

Each day, regulators tighten their stance against crypto with the aim of protecting the industry against money laundering and other illicit activities. This "legalizes" crypto to a point where it's "safe" enough for investors and average individuals to buy/sell crypto assets. But the more regulated crypto gets, the less freedom a person will have. Regulators are shutting down centralized mixers, and are now holding privacy protocol developers accountable for their actions.

I wonder how far will regulators go? Will we reach a point where it will be impossible to launch a new crypto without the approval of regulators (in this case, the government)? Those caught making their own crypto or token and launching it to the public without the consent of the government, could either face fines or imprisonment.

What are your thoughts?

I personally believe that the launch of any new cryptocurrency should not require government approval. Regulators should not adopt such a strict stance that they feel compelled to impose such requirements so that they can still benefit from cryptocurrencies and even the same goes for crypto enthusiasts. Rules that stifle the freedom of crypto enthusiasts will only have a negative impact on future crypto innovation. And new innovations may no longer emerge due to the strictness of regulations that require prior approval like that. The government only needs to regulate crypto in the context of misuse. And I think innovation should not be hindered. Some of the innovative cryptos that exist today are the result of the ease of launching new cryptos without regulatory approval for its launches. Regulators simply need to clarify their regulations so that developers only need to ensure they are not breaking the rules.

[Abiky]

I hope that they get into that point, we've got so much cryptos already that anyone can make it.

And so if a regulator is requiring that for any developer, this can also reduce the rampant scams that are happening through new projects.

That's one of the advantage that we might get if they get to that point. Since the privacy we're getting is also reduced, we might just get some incentives like that to lessen the victims falling for the projects that have the intent to scam.

That's true. There are so many "shitcoins" out there in the market. Regulating who will launch new crypto assets would help minimize fraud on the market. While it's good in the sense that it helps keep things "under control", it also goes against the "permission-less" nature of crypto/Blockchain tech. If governments require developers to comply with KYC to launch their very own cryptocurrency, the community might "fight back" by supporting anonymous developers working on crypto projects with freedom in mind.

Regulators have gone far since Bitcoin came into inception some time ago. So I'd not be surprised if they come up with new ways to limit privacy and freedom for everyone. We'll see what happens in the long run.

[ZaryBee]

Regulators will probably keep tightening rules, but they can't fully stop people from making new coins becase anyone can still publish code and launch a blockchain. What they really control more is where crypto meets normal finance, like exchanges, fundraising and companies behind projects. Thats why privacy tool developers now getting more pressure than before.

I think bigger problem is small developers may stop building because legal issues become too risky, while big projects with money for lawyers can still continue easy. So no, governments probably cant fully block new crypto, but they can make launching it publicly much harder for normal people.

[Jostern]

Each day, regulators tighten their stance against crypto with the aim of protecting the industry against money laundering and other illicit activities. This "legalizes" crypto to a point where it's "safe" enough for investors and average individuals to buy/sell crypto assets.

Everyone of us are not investing because of the condition of crypto being regulated by the government or their institution, a typical reason to this is when you made any mistake to go to your asset hacked or being scammed, the same regulators will definitely fail you because they cannot help with the situation towards recovering back your assets to you, so all they do is only to fight for their own personal interest and not the general interest.

You have made a good valid point, in one way or the another, Government will always have to regulate cryptocurrencies, because every government wants to have control of the activities of anything that have to do with money dealing, and because of that reason people will not stop investing in cryptocurrencies most especially Bitcoin, likewise myself I will keep investing and buying and holding bitcoin, probably if you get scammed while dealing with cryptocurrency then most times this same government can’t absolutely do anything about it because they’re only interested on their own interests.

[Odohu]

Each day, regulators tighten their stance against crypto with the aim of protecting the industry against money laundering and other illicit activities. This "legalizes" crypto to a point where it's "safe" enough for investors and average individuals to buy/sell crypto assets. But the more regulated crypto gets, the less freedom a person will have. Regulators are shutting down centralized mixers, and are now holding privacy protocol developers accountable for their actions.

I wonder how far will regulators go? Will we reach a point where it will be impossible to launch a new crypto without the approval of regulators (in this case, the government)? Those caught making their own crypto or token and launching it to the public without the consent of the government, could either face fines or imprisonment.

What are your thoughts?

I want to disagree with you a little on the aspect that regulators makes crypto safer to use. There is nothing like that because all the things they accuse cryptocurrency of is happening in fiat system. Most money laundering, terrorism finances, human trafficking, illicit drugs and all the terrible things they attach to cryptocurrency are happening in fiat system that is heavily regulated. If that be the case, then it becomes obvious that regulation does not solve much problems.

[BattleDog]

They'll keep pushing until they hit either a legal wall, a technical wall, or the usual political wall where enforcement starts costing more than the problem they claim to solve.

What I don't think happens is some clean final state where governments "control crypto" in the neat way people imagine. They can absolutely crush the easy onramps, the public company side, the hosted wallet side, the stablecoin side, the app store side, the banking side, and the fully doxxed team launching token #9374 with a roadmap and a cartoon mascot.

[SusanVac]

Feels like they’re just gonna keep tightening things step by step. More KYC, less privacy stuff, more pressure on exchanges. I don’t think they can fully stop people from launching coins though, anyone can still deploy one.

What they really control is access. Listings, fiat ramps, big platforms. So crypto won’t die, it’ll just split. One clean and regulated, the other more underground.