According to the former CEO of Bitmain, Jihan Wu, strengthening control over the cryptocurrency industry will positively affect the development of this market segment. He expressed his point of view at the Asia Tech x Singapore conference.
Cryptocurrency market capitalization has already exceeded $ 1 trillion. More than 10% of US citizens are directly or indirectly associated with digital currencies. The situation is similar in many other countries.
If the authorities of China or other states establish control over the market, then companies and investors who prefer to use dubious schemes will be forced to leave it. Simply put, fraudulent projects and speculative players will leave the crypto sphere.
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Jihan Wu stressed: "The industry's reputation will be much better with crypto regulation than without it, so I think this kind of repression could be beneficial for the industry."
Crypto companies operating in any country, not just China, are themselves interested in cooperating with regulators. As an example, Jihan Wu pointed to Singapore, whose authorities are pursuing a reasonable policy towards market participants.