Bitcoin markets have had a strategic advantage for the longest time- by their very design, they are mostly unregulated by government bodies. Decentralized finance was established on a utopian notion in governments do not control money.
However, business executives have begun to recognize government regulation as a crucial component. The widespread acceptance of cryptocurrencies and decentralized finance actually depends on it. Consumers will embrace cryptocurrency and decentralized finance in larger numbers.
Four top officials in the administration of US President Joe Biden have urged Congress to “intensify its efforts” to regulate the cryptocurrency industry. In India, Finance Minister Nirmala Sitharaman has emphasized the significance of international cooperation in order to govern the crypto industry.
She added that the crypto awareness campaign being run by Indian regulators to warn people about the dangers of cryptocurrency investment will continue.
Investor, Kevin O’Leary of Shark Tank fame has weighed in on the subject. Let’s explore.
Kevin O’Leary’s Take On Regulation
Businessman, investor, author, and television personality Kevin O’Leary, often known as “Mr. Wonderful,” is a Canadian. O’Leary is most known for his role as a judge on the reality television program “Shark Tank,” where he assesses and finances various business concepts put forth by business owners.
In a recent tweet, O’Leary stated that we’re going to keep seeing these crypto exchanges going to ZERO until regulation is enforced upon them.
We’re going to keep seeing these crypto exchanges going to ZERO, until we actually force regulation on these guys.
— Kevin O’Leary aka Mr. Wonderful (@kevinolearytv) February 23, 2023
O’Leary thinks that unregulated exchanges are exploding and failing because of a lack of regulation. He emphasized in a recent interview with Kitco that these unregulated exchanges encourage users and account holders to purchase their centralized “meritless” coins in order to receive rebates on trading fees. He emphasizes that rogue players and unregulated exchanges are the root of the problem, which can be solved with regulation.
The crypto community doesn’t seem to agree with O’Leary on this issue. They have jointly slammed him for his regulatory stance. Because of his bad judgment in placing his trust in others in the sector, one user advised him to refrain from making such statements about the entire market.
Also, explaining that certain reputable exchanges are suitable for conducting transactions and storing them in a cold wallet; you only need to understand how to do so.
Several have urged him to courageously criticize the SEC. Another user has expressed concern that the regulations contradict his fundamental convictions.
Regulation Mr Wonderful? Doesn’t that go against your basic principles?
— The Way of Jerz (@TheJerzWay) February 23, 2023
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The crypto market has experienced a record breaking bull run in 2021, as Bitcoin has scaled to $57,000. However, amidst this massive surge in the crypto market, the industry still risks running into fraudulent activities.
Fund entrepreneur, Shark Tank star, and investor, Kevin O’Leary, recently voiced his opinion on the current state of the crypto market, suggesting that the rising demand from individual investors requires better regulations and government oversight to weed out rogue players in the market.
In a recent blog post, O’Leary urged for enhanced regulations in the cryptocurrency market to ensure that the investors in the space are not scammed and their funds remain safe. “If individuals are investing, your own government can never be too safe”, he added.
What shades of grey are there in the cryptocurrency ecosystem? It’s the Wild West,” explained O’Leary. He concluded that retail investors trading cryptocurrencies need to tread with caution and perform due diligence on the projects before investing their money.
In the same statement, O’Leary also clarified that due to the lack of government oversight, the crypto market is able to move at a lightning speed, which he believes can be both a blessing and a curse.
The crypto market has grown exponentially in the last decade, and the increased traction from retail investors is a testament to it. O’Leary’s suggestion of implementing regulations to regulate the market and protect investors from fraudulent activities is hence a well needed amendment in the current state of the crypto market.
The ball is now in the government’s court to ascertain how it will regulate the cryptocurrency market and protect retail investors. Only time will unfold what measure the government will take to ensure the market is safe and sound.
