The crypto agenda of 2020 is one of the biggest taling points of any investor. This article talks about the current state of bitcoin as a leading blockchain in the industry. Daniel Gorfine, the owner of Fintech advisory company Gattaca Horizons LLC shares great insights about Bitcoin.
Currently, he is a professor at Georgetown University Law Center. He also served as a chief innovation officer at US Commodity Future Trading Commission.
The arrival of bitcoin can be related to the sudden appearance if the monolith in 2001. It’s like a space trek that elicits suspicion, curiosity, ecstasy, and evolution within a selection of interesting primates.
Satoshi’s white paper that is over ten years has stimulated a range of emotions, responses, and reactions. These reactions range from people who think it’s just digital smoke that will soon end. And those who claim blockchain is the greatest innovation since the advent of the internet.
Irrespective of your opinion is the fact that Bitcoin has made people think broadly about various aspects.
Some key crypto agenda include the nature of cash, how people engage in economic activities, and the responsibility of technology infrastructure and financial intermediaries in the market.
As we enter 2020 and wind up more than ten years of experience with digital currency, it’s good to look at five critical regulatory and market topics that will fuel the crypto program ahead next year.
1. The remainder of the international ICO mania of 2018 is a main crypto agenda
This topic catalyzed the vigorous debates in the description of security in a crypto context. The majority of people in the crypto society argue that ICOs will act as a consumption or utility function that powers new decentralized business models.
So, these tokens shouldn’t be viewed via the security offering lens. International regulators have assessed the promises to claim that most pre-sales of ICOs hve the hallmark of convectional capital increase. For this reason, there has been a focus on security laws.
2. Derivatives of the Remainder of the international ICO mania of 2018
This topic entails assessing various ways regulations will evolve in the United States to the level that the ICO falls outside the security laws.
Currently, all platforms facilitating the buying and selling of digital commodities are subject to a patchwork of federal regulations.
These regulations treat the transfer of virtual currencies as a cash transfer. With the exclusion of FinCEN registration, there’s no coherent state framework that offers oversight of the digital currency exchange making it a critical crypto agenda.
For this reason, 2020 might be the year where policymakers at the federal and state level starts making robust deliberation of a restructured digital currency regulatory framework.
3. Exploration within the application of security laws
Experts beleive that we need more research on the implementation of security laws to digital commodities that are deemed to be securities.
It explains the ways blockchain technology and blockchain-based products satisfy regulatory requirements and expectations. This includes aspects such as if tokens represent a listed on the legal form of the token, and the core blend of commodities in investment funds.
4. Ongoing improvement within stable crypto and digital fiat currencies
This includes Libra initiative, international CBDC efforts, or the USA hybrid model. Irrespective of the longevity of Bitcoin, we haven’t witnessed any mainstream adoption. And achievement at the scale of the tokenized platform of exchange.
While there are many potential advantages such as efficiency, transparency, inclusion, and speed, we must test the merits as contrasted to payment convectional rails.
5. Ancillary benefits of technology infrastructures
This revolves around crypto as a commodity. And concentrates on numerous auxiliary benefits offered by the new focus on technology infrastructures.
Such an infrastructure underpins the broader market and supply of financial services. While the current infrastructure might be Scotch-taped and stuck together to serve the intended purpose.
There’re some questions about the new system being the coming generation of Fintech in the enterprise.
2020 might be the year that people will start seeing the value proposition of these infrastructures justify the cost if upfront investment.