Could regulation boost crypto market?

Recent comments from Mark Carney, governor of the Bank of England, are expected to help spark a sustainable recovery in cryptocurrencies, according to Nigel Green, founder and CEO of deVere Group.

Nigel’s claims follow Mr Carney’s declaration that the exchanges that clear cryptocurrencies should be regulated.

Mr Carney said: “The time has come to hold the crypto-asset ecosystem to the same standards as the rest of the financial system.

“Being part of the financial system brings enormous privileges, but with them great responsibilities … In my view, holding crypto-asset exchanges to the same rigorous standards as those that trade securities would address a major underlap in the regulatory approach.”

Mr Carney made this statement just days after the CEO at deVere stated: “There is no question that regulation is necessary and is on its way.

“It is clearly an area in which there is an enormous need for a robust international regulatory framework and strict ongoing supervision. 

“One of the best ways to address the regulatory issues is via the exchanges.”

Following Mr Carney’s comments, Nigel said that the proactive and pragmatic approach now being taken by the BoE should be championed.

“An increasing number of people are becoming aware of and developing an interest in cryptocurrencies.

“Whether traditionalists like it or not, cryptocurrencies in some form or another are here to stay – and the market is only set to grow.

“Robust regulation will help protect both retail and institutional investors, help combat cryptocurrency criminality and reduce the potential threat of disrupting global financial stability, as well as offering a possible long-term economic boost to those countries which introduce it.”

The deVere CEO concluded: “Strong regulatory frameworks will give investors even more protection and more confidence in the market and, with this in mind, the comments by the BoE governor on the regulation of cryptocurrencies can be expected to help fuel a sustainable recovery of the likes of bitcoin, ethereum, ripple, litecoin and dash.

“Cryptocurrency regulation is required and, I believe, now inevitable. 

“The work being done by many international financial watchdogs, lawmakers and central banks, such as the Bank of England, in this area is something I fully support.”

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