It is no secret that many regulators across the globe are hostile towards cryptocurrency as they see it either as fraudulent or just simply not a valid means of the payment or investment that should not be given attention. This has become particularly obvious with the announcement of Facebook Libra token which has been trying for months to get regulatory approval across the globe. At many turns, the token has faced criticism from lawmakers, pushback from regulators and endless accusations of either undermining local economic power or simply encouraging crime. This brings up debates about how cryptocurrency will move forward to the next age of maturity if regulators refuse to get on board.
According to on October 29, 2019 Liquid panel with Blockstream CSO Samson Mow, regulators could stand to suffer grave consequences if they continue to act on unfavorably towards bitcoin in the future.
Looking to the Future
The panel in question also had notable personalities like Charlie Lee, the founder of Litecoin and Whalepanda, a Twitter personality. According to Mow, cryptocurrency solves a lot of the problems that exist within the world such as inflation and a definite store of value and that as time goes on, regulators will have to adjust themselves to cryptocurrency due to these many benefits. This can already be seen across the world as a number of countries are looking into creating their own token such as the Bahamas, China and even Canada.
While Mow noted that regulators are sometimes hostile towards cryptocurrency, he feels that this might come back to bite them should they find their power undermined by blockchain technology in the future.
“They might be hostile to it. But the thing is hostility to Bitcoin is a double-edged sword like if you are in power and you ban Bitcoin, and you fall out of power, then you’re screwed. […] People need to be careful when they are enforcing regulation and creating all this policy because you could be on the other side of the sword, down the road if you fall out of favor,” he said.
Mow also made note of the growing use of cryptocurrency in places like China and says that its decentralized nature is one of the benefits that cannot be ignored.
“Bitcoin is allowing you to make the transactions that people don’t want you to make. It’s essentially digital freedom,” he said.