Regulations provide long-term stability for Bitcoin and cryptocurrencies
Image source: pixabay - Anestiev
An article posted on CNBC - Kate Rooney reports comments made by all-time Bitcoin supporter Tom Lee, stating that the intervention of the crypto market by regulatory bodies have aided the stability of Bitcoin prices. Since Bitcoin's popularity in Dec 2017, many investors have joined the roller coaster ride as Bitcoin struggles to perform in 2018.
The idea of regulation of a decentralized digital currency platform was controversial, causing unsettling thoughts and unnecessary panic in the crypto market. However, regulation has evidenced improvements for two major companies, Coinbase and Circle. Coinbase would acquire securities dealer Keystone Capital and Goldman Sachs-backed cryptocurrency platform Circle, is seeking a federal banking license.
"We believe both companies would only make these moves if their perception of regulatory risks in crypto was improving," Lee said, calling their announcements "implicit acknowledgment" that the regulatory tide is shifting.
Source: CNBC - Kate Rooney
Image source: pixabay - Free_Photos
Haters Gonna Hate
Skeptics Warren Buffet and J.P. Morgan CEO Jamie Dimon continue to voice their concerns over Bitcoin during an interview on CNBC:
During the interview, which aired on Thursday, the two were asked “which one of you hates Bitcoin more?”
“I set a high standard,” Buffett, who has been critical of the cryptocurrency, replied. “I don’t know whether Jamie can top me or not.”
“I don’t want to be a Bitcoin spokesman,” Dimon responded. “Just beware.”
Source: Fortune - Sarah Gray
At the end of day (years later), someone on either side of the debate would come forward to say, "I told you so." Bitcoin is a digital asset with a $129 billion market. It is common for people who are risk-adverse to be slightly more skeptical about new launches and ideas. Start-ups and businesses in the emerging market often face tougher challenges than new competitors in a well-established market. While some would succeed, the others would fail.