• The Blockchain Association’s Kristin Smith believes that proper crypto regulation could make consumers more comfortable using cryptocurrency and attract institutions to the industry.
• There were three congressional hearings on the collapse of FTX, but lawmakers walked away with more questions than answers.
• Smith does not believe that more laws are needed for the sector, as FTX was an old-fashioned crime that does not need to be addressed by modern policy.
The Blockchain Association, an entity that advocates for peer-to-peer technology that puts power in the hands of consumers and creators, recently spoke to CNBC’s Squawk Box Asia about the state of the cryptocurrency market and how regulation can make consumers more comfortable using cryptocurrency. Kristin Smith from the Blockchain Association commented on the importance of regulation in the industry.
Smith believes that proper crypto regulation can make consumers more comfortable using cryptocurrency and can also attract institutions to the industry. She mentioned that the collapse of FTX drew attention to the state of the market and how to prevent similar things from happening in the future. After the incident, there were three separate congressional hearings on the matter, but lawmakers walked away with more questions than answers. Smith said that the sector needs more regulation on stablecoins and spot markets.
When asked if more laws were needed, Smith responded that FTX was an old-fashioned crime, and not something that needs to be addressed by modern policy. She believes that it is now up to Congress to figure out what the gaps are that need to be filled.
The benefits of regulation in the cryptocurrency industry are clear, as it could provide the security and stability needed to attract more users and institutions. However, it is important that lawmakers do not overburden the industry with unnecessary laws and regulations, as this could have a negative impact on the industry. It is now up to the government to figure out how best to regulate the cryptocurrency market in order to protect consumers while also allowing the industry to thrive.