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Regulation of crypto markets, its effect on industry advancement.

Hi everybody. 

I would like to walk you through the changes in regulations over the past 3 years and state again why it is important for the crypto industry and for us as a company.

I think that the lack of regulations is still one of the major obstacles to mass adoption.

A legal framework is needed to protect users and investors’ interests as well as offering guidelines for companies to work with. 

No regulations mean: 

  • uncertainty, which is why major institutional investors are hesitant to add crypto to their portfolio

  • the capital market sticks to the conventional financial opportunities, avoiding crypto

Blockchain/crypto/fintech projects are bringing innovations to the market and this industry is growing rapidly which is why funding is crucial for continuous developments and growth. Lack of legal procedures for investing in these industries stops both investors’ profits and also delaying developments in the blockchain industry.

I share the view that regulation is not contrary to the idea of decentralization and freedom. Yet it is an important factor for the industry, essential for the growth and maturing of crypto and developments.

And we of course can see amazing progress from 2017 to 2020 in this field.

It all depends on how governments look at crypto markets; some issued warnings against investing in cryptocurrency and some went to full restrictions. Restrictions will only drive out the digital community to other legal entities with more favorable conditions. 

By implementing strict regulations aimed to protect a customer/client and at the same time by providing a set of rules for the crypto industry, governments can open the doors for investors and companies, bringing up this industry to a completely new level.

Examples are Lichtenstein and Switzerland. 

At present laws differ from country to country, with no unified definition for crypto assets.  In our practice, when launching the virtual card or crypto wallet we have to first research the entity with laws in place allowing this innovation to be able to bring it to the market. Countries without similar laws can not receive these products. As a result, they’re getting left behind in technological progress. 

We strongly support digital innovative laws clarifying the rules for all parties and helping the merge of crypto and fiat markets to happen quicker. We follow new initiatives introduced in many regions. This allows us to launch our digital products in those particular countries. 

We believe that fintech and blockchain products eventually will become available for everyone, wherever you live. 

Igor Chugunov,
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