Why It Seems Like Everyone Is Always Talking About Regulation
There are still many people in the world who believe that regulation of cryptocurrencies is a bad idea. They don't want regulation to take shape because it could make the crypto space more like the traditional banking space, and the world of digital currency billed itself as being everything traditional finance wasn't. Despite the growth of illegal activity, they don't want regulation to take shape because it could make the crypto space more like the traditional banking space.

If there were prying eyes, third parties, and middlemen that had a say in what could be done with your money and what couldn't be done with your money in the realm of traditional money, then there would be no room for them in the realm of cryptocurrency. You were able to do business with nobody knowing who you were or what you were up to because of the anonymity provided by the platform. There were no restrictions on the number of assets that you could buy; the market was open to you. You had complete discretion over how you spent assets, and you could distribute them to anybody who was on your contact list. There were no inquiries made, and there was no anticipation of responses.

But as more time has passed, there has been an increased demand for regulations that are crystal clear. Some of the most influential people in the industry believe that digital currency is prone to problems that regulation could solve, and they believe that it is time for the industry, which is now approximately 14 years old, to change with the times and abandon some of its initial ideals in order to remain competitive. They argue that crypto has to evolve and work together with financial regulators all around the world in order to provide enough protection for traders.

In a predicament such as this, what are some possible next steps? Naturally, if regulation is not implemented, diehard fans of the space that have been around since the beginning will remain happy. On the other hand, any newcomers worried about transparency and other issues may never step in, which means that the space is not likely to expand quickly. It is likely that all of those diehard fans will leave if regulation is implemented, and the lack of activity among those core actors could lead to repercussions for cryptocurrency in the future.

Make an effort to locate a happy medium.
The solution is not to aim for one extreme or the other; rather, it is to search for a peaceful middle ground that all parties can agree upon. Because it is only natural for people to be concerned about the security of their financial holdings, limited regulation may be the only viable strategy.

The world of cryptocurrencies does not need to be as stringent as the world of traditional banking; however, there is no reason why every exchange cannot implement the same know your customer (KYC) measures in order to verify that users are who they claim to be. There are businesses out there that won't even do that, and in this day and age, it is arguable that these businesses are taking the fundamental ideas of cryptocurrency a little bit too far to justify their actions.