The United Kingdom (UK) Treasury formed a committee some time ago to compile a report on the digital assets’ token sector.
And in a recent report, they referred to cryptocurrencies as “the wild west.”
What Is It About the Digital Assets’ Markets the British Regulators Do Not Like?
The real question for this Treasury Committee in Great Britain might better be posed as: what did the regulators like about cryptocurrencies?
They found the digital assets’ market entirely unregulated. In fact, the committee claimed that investors suffer from incredibly high volatility.
And, according to them, investors also enjoy little to no protection of the law and suffer from continuous viruses and security issues.
The committee MP’s stressed that Parliament should decide if they will allow the crypto-verse to continue thriving in the U.K. If so, the government will need to institute tough regulation. According to the parliamentary committee, Britain is well situated for evolving into a world-class international digital assets’ center.
Market Manipulation Is Another Problem Area for the Cryptocurrencies
It is not only hacks of digital assets’ exchanges and scams from ICO’s and crypto-companies that plague the industry.
The committee found that market manipulation is another serious area of concern for the crypto-verse. As the blockchain technology has exploded around the world, it has developed a market much like equities and assets. This led to scorn and skepticism from regulators who do not like the chaos and extraordinary volatility.
The problems with market manipulations are particularly of concern for the regulatory groups and critical institutional investors. The market cannot thrive without the large institutions buying into it with enthusiasm. To them, BTC is not the problem, or even the altcoins and blockchain technology.
The Attorney General of New York is also concerned.
For example, he has issued a scathing report on digital assets’ exchanges. He wants greater transparency in the investments like ICOs and blockchain. That’s because blockchain is notoriously famous for being anything but transparent. Unfortunately, the attorney general may not be able to get all of what he wants in this case.
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