Even though regulations in the digital market look harsh, traders should continually have at the back of their mind that they are there to guide the activities of people in the market. Even though most regulations are not as effective as they seem, regulators are making efforts to enforce them on various participants in the industry.
These and more were the words of the CEO of Microstrategy, Michael Saylor, as he mentioned that the continued roll out of regulations would still see more people enter the digital asset space. Giving his opinion on specific issues regarding the illicit use of digital assets opined by Janet Yellen, Saylor was on Salt Talks to shed light on its issues.
Regulated companies are now entering the crypto space
In his opinion, Saylor mentioned that the new rules that regulators would continue to roll out would see digital assets respond with a bullish momentum, which would force individuals into the space. He mentioned that since some regulated companies and exchanges are already dealing in Bitcoin and following the laid down rules, he sees no reason why it should be a problem to follow other rules in the future.
He also mentioned that despite the rollout of features that require entities and individuals to verify their identities like KYC and AML, even though trading crypto was meant to be anonymous, people are still following the rules. In his argument, Saylor mentioned that if governments begin to roll out regulations for the space, it only means that they have started to accept digital assets. They have discovered that it is going nowhere in the foreseeable future.
With crypto already going mainstream and various governments worldwide accepting blockchain and digital assets, demand from investors has skyrocketed over the past few months. He said that contrary to what is going around, the government’s pressure would see a crypto decline, it would help in its appeal and mainstream acceptance.
Saylor says regulations will not spell doom for the industry
Arguing further, Saylor says he feels that more regulations would not be earth-shattering or spell doom for the entire crypto space. He mentioned that even though some parts would feel the heat when the regulations start to pour in, he notes that the crypto industry would be alright in the long run. For example, a country like Iran, which has shown favor to crypto and mining across the country, has been having severe mining issues across the country.
The country recently lamented the rate at which malicious and illegal miners aiming activities have been skyrocketing across the country in the past few months. Recently, the country released a decree saying that any illicit miners arrested would be charged to court and jailed. Rules like this would make people desist from the illegalities and foster the adoption of digital assets, which would see the digital assets rise. Saylor is now a big time enthusiast and advocate of the leading digital asset, Bitcoin, after he was converted during the massive rise of Bitcoin towards the end of last year.