As Bitcoin celebrates its tenth anniversary and with the UK government’s Cryptoassets Taskforce releasing its final report, the cryptocurrency market is “unquestionably coming of age”, according to Nigel Green, founder and CEO of financial services organisation deVere Group.
“Traditionalists who somehow still believe that cryptocurrencies are ‘just a fad’ could be compared to King Canute who is said to have attempted to command the tides of the sea to go back,” he says.
“It’s becoming increasingly clear that cryptocurrencies are the future of money.This is evidenced by Bitcoin, the world’s first cryptocurrency turning 10, and by more and more governments, regulators, financial institutions, and retail and institutional investors, amongst others, appreciating the real and growing demand for digital, global currencies in today’s ever more digitalised and globalised world.”
Proactive and pragmatic approach
The Cryptoassets Taskforce’s final report states that ‘the market is continuing to evolve rapidly’, before adding ‘there is increasing institutional investment in this space, and many banks are starting to explore how they can interact with this growing market’.
“The report’s proactive and pragmatic approach towards regulation of the burgeoning sector should be championed. It is a sector in which there is a clear need for a robust international regulatory framework and ongoing supervision in order to further protect both retail and institutional investors, as well as to help tackle illicit activity,” says Green.
The Taskforce’s report affirms: “The government, the FCA and the Bank of England will continue to be actively involved in international efforts [on regulation], and the UK will be a thought leader in shaping future regulatory approaches.”
“As Bitcoin moves into its second decade and as authorities globally seek to harness the enormous potential of cryptocurrencies, it’s clear the market is, unquestionably, coming of age,” Green concludes.