First rule of crypto's is NO FUCKING REGULATION!
Seriously, are you people high? Why are you even here then? Go play by the white devil's rules of Wall st if you want fucking rules.
Some of them, sadly in my humble relative-newbie opinion, are high on ignorance. I'm talking about the people who think that "self-regulation" is the answer to forestall government regulation.
Sadly, the history of the regulation of the stock exchanges all-but tells us the opposite. The doughty self-regulators back in the free-market days had no idea that they were just doing the spadework for the SEC et. al. The government simply nestled the new regulatory agency on top of those self-regulatory organizations.
Note the contrast between the history of the stock exchanges and the still-unregulated OTC derivative market. The governments haven't jumped in with regulation because - to be quite frank about this - they can't.
They can't because the entire OTC derivative market is such a patchwork quilt of custom-made "bespoke" deals, it would be durned difficult to take the first step towards regulation: namely, a
clearing house for those derivatives. Consequently, any would-be peepul's champeen with real regulatory experience would look at the OTC-derivative patchwork and conclude that it's currently too much of a disorganized mess to merely organize let alone regulate.
Sorry to disappoint anyone here who loves a good conspiracy theory
, but this crazy-quilt character was entirely accidental. Fact is, OTC derivatives are deals made between teams of fully professional finance professionals and are more-or-less designed to be held to maturity. Because of that intention, they get very complicated because there's no intuitive need to make them easy to sell. As a result, actually selling one of them - or buying one of them in the secondary market - is about as complicated as selling or buying a small business. With the difference that the hourly rates of the lawyers on each side of the negotiation is ~10 times higher than the ones in the small-business-transfer field.
Now, I know for a fact that self-regulation (contrary to intention, probably) just paved the way for government regulation in the asset markets. I'm not completely certain that this was the case for banks, but I'd be surprised if it wasn't. A thumbnail description of the Federal Reserve would be: an institution that was set up to take the responsibility of assuring an orderly market off the shoulders of J.P. Morgan the man.
http://en.wikipedia.org/wiki/Panic_of_1907#J.P._Morgan[True Facts: #1. Rep. Carter Glass, the politician who introduced the Federal Reserve Act in the House, had been one of J.P. Morgan's examiners when J.P was straightening out the Panic of 1907. 2. At the time the Federal Reserve Act was passed, J.P was near death.]
Although I haven't studied the banking sector closely enough to give a certain answer, the thumbnail history of the birth of the Fed does show that self-regulation did indeed pave the way for government regulation in the banking sector.
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You show anger, sir, and I show sorrow. Admittedly, I'm fatalistic; I'm already inured to cryptos being regulated by the government - perhaps with an entirely new regulatory agency that the Washington Insiders will present to us as a you-now-hit-the-big-time special gift.
Yep, I'm inured to it. But I remember very well what Robert A. Heinlein wrote so long ago: there's a world of difference between rolling with the punch and stooling for the screws.
