Home Altcoins News Denelle Dixon CEO of Stellar Lumens (XLM) Co-Authors Content on Crypto Regulation to Suit Purpose

Denelle Dixon CEO of Stellar Lumens (XLM) Co-Authors Content on Crypto Regulation to Suit Purpose

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Denelle Dixon Expressed:  In this urgent moment, we must work with policymakers to shape informed crypto regulation or risk ending up with legislation that hampers innovation in our industry. I want us to get this right, so I was pleased to co-author this report with colleagues from

World Economic Forum’s GFC.

 

The paper talks about the categories of regulatory approaches, which can be taken as: 1. Wait and See Approach.  2.  Public-Private Partnership Approach (Balanced-Risk Proportionate Approach) 3. Comprehensive regulatory approach.  4. Restrictive Approach.

 

The paper also explores the legal status of cryptocurrencies around the world in terms of:  1. Permission laws and regulations.  2. Prohibitive Laws and Regulations.  3. Partial and/or Imminent ban on the most controversial status, and 4. Uncategorized due to insufficient information.

 

The paper points to how in addition to country-level approaches, the positions by international bodies on cryptocurrencies as being critical and as having significant ramifications for country-level adoption and regulations. And, also about the importance of global regulatory and operational interoperability.

 

The paper agrees that regulation of cryptocurrencies is an evolving and global challenge that is getting dealt with on a country level and also as being important to international bodies and regulators. Some countries are reactive, while other countries are trying to provide for a better regulatory environment to help in the development of cryptocurrency businesses in a way to limit malicious activities and financial stability risks.

 

Over-regulation and under-regulation will lead to regulatory arbitrage. Industry players are looking to establish themselves in advantageous jurisdictions. Industry players are looking for jurisdictions that provide clarity and security for the development of their business. A balanced approach across different regulations is the need of the hour.

 

The key takeaway and guiding principles from the papers are:  Banning is not necessarily efficient.  An environment of legal certainty is a positive sign. Regulating while permitting innovation is the best.

 

The paper reinstates on the importance of how regulators should gain expert insight into several themes related to cryptocurrency regulation which includes:  1. Characteristics of cryptocurrencies and the underlying blockchain technology.  2.  In congruence of cryptocurrencies with traditional financial regulation and associated risks to the financial system. 3. Key challenges and considerations for regulating cryptocurrency activity. 4. Current best practices for regulation and examples from forward-looking regulatory regimes.

 

Cryptocurrencies with improved adoption are going to touch every aspect of financial activity and regulation, which includes market conduct, taxation rules, and consumer protection.

 

 

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Steven is an explorer by heart – both in the physical and the digital realm. A traveler, Steven continues to visit new places throughout the year in the physical world, while in the digital realm has been instrumental in a number of Kickstarter projects. Technology attracts Steven and through his business acumen has gained financial profits as well as fame in his business niche. Send a tip to: 0x200294f120Cd883DE8f565a5D0C9a1EE4FB1b4E9

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