This is good the year for the crypto industry. From funding shortages to the SBF saga playing out in public, the industry and its promoters have had a wild year, especially with crypto prices fluctuating more than London time last year. April.
However, crypto regulation and how it is set up to be implemented is at the forefront of everyone’s mind in the crypto industry. And although 2024 will disrupt everything with the Presidential elections, many in the crypto industry hope that clearer guidelines will be put in place in the coming months.
“2023 will definitely see some controversy, although in many ways, it will be a lull from the winter of crypto and hangover from the crash of FTX and LUNA in 2022,” Jack Vinijtrongjit, co-founder and CEO of web infrastructure company3 AAG, said. TechCrunch+.
Several major scandals rocked the industry in 2022, and as a result, this year, we got front row seats to the US government’s response. This month alone has been rough for the crypto industry: In early November, former FTX CEO Sam Bankman-Fried was found guilty of seven counts of fraud, and then last week, the Binance CEO Changpeng Zhao resigned after pleading guilty to several charges brought. of several US agencies for not cooperating with the country’s laws.
But the rest of the industry “doesn’t have to suffer because of the (Bankman-Fried) conviction,” said Anthony Sabino, a law professor at the Peter J. Tobin College of Business in St. Louis. John’s University. The actions of the former FTX CEO do not necessarily hold the industry accountable, Sabino said, but he acknowledged that the series of events that led to FTX’s bankruptcy will result in regulators wanting to reject the next SBF and prevent of other bad actors.
“In the long run, catching and punishing bad actors is good for an industry, including blockchain,” said Adam Ettinger, partner at law firm FisherBroyles. “In a short time, no one wants to go to Thanksgiving dinner and have to explain how their start is not like Celsius or FTX.”
However, the industry hopes that the government and regulators will be more clear about regulation and lay down concrete rules.
“This year, we’ve heard frequent and widespread messages from the government, but the messages have been mixed,” Ettinger said. “On the one hand, the SEC has brought 26 enforcement actions involving digital assets. On the other hand, we have members of Congress who understand the importance of blockchain innovation and push to regulate the technology in a way that cannot stop our traders or send them abroad.