Although the cryptocurrency sector may still be considered the “Wild West” by some governments and regulators, continued adoption and emerging use cases show that digital currencies are here to stay. Some even argue that blockchain-based networks and decentralized finance, or DeFi, platforms may soon replace traditional financial systems.
Yet despite ongoing progress, the crypto industry is still young and, therefore, requires further development before it can be widely accepted. One area in particular that needs deeper addressing within the crypto space is regulation.
Mohamed El-Erian, chief economic advisor at Allianz — a German multinational financial services company — stated in a Financial Times article that it’s the duty of crypto proponents to cultivate better relationships with regulatory stakeholders, given the disruptive nature of the novel tech.
Fortunately, some members within the crypto community understand that relationships with regulators, policymakers and the public sector are necessary to foster adoption. As a result, working groups focused on developing standards for the blockchain space