Why Crypto Regulations Could be a Good Thing for Investors

Why Crypto Regulations Could be a Good Thing for Investors

Why Crypto Regulations Could be a Good Thing for Investors

In today’s world, it is impossible to talk about the world of trading without also discussing the unstoppable rise of cryptocurrencies and other digital assets. Indeed, post-2009 financial crash, consumers and traders have grappled with an inherent distrust of banks, with many expressing a desire for a stable, decentralised currency free from state control, which has no doubt led to the rise of such investment opportunities.

Certainly, technological innovation has played a significant role in this. This innovation has created crypto assets that are not managed by an operator or backed by any collateral, which means that their price is not based on a physical asset (e.g. stocks, currency, etc.). As such, the crypto market is speculative by design, and thus extremely volatile.

Published by Stavros Lambouris in The European Financial Review.