Recent events in the crypto space have the smell of victory but only represent small battles in an ongoing war. “Dramatic” changes are on the way. Those who oversee the traditional finance sector won’t just let Bitcoin (BTC) wander off into the sunset without a fight.
That’s the sentiment expressed by the World Economic Forum’s head of blockchain and digital assets, Sheila Warren, who said a “dramatic” round of regulation was about to befall Bitcoin and the wider cryptocurrency space. Warren told Bloomberg on Thursday:
“We’re going to see another round of pretty dramatic attempts at regulating this space. As there’s more and more activity in these spaces there’s more and more demand signal for regulators to get engaged and involved.”
The free-wheeling, autonomous nature of cryptocurrency poses a serious threat to the preeminence of fiat systems. Most major economies are already engaged in the process of absorbing the impact of crypto through taxation and regulation or are building central bank digital currencies to compete with and, eventually, replace it.