Cryptocurrency is known to be a volatile industry, largely due to the lack of regulation that surrounds it. Although Bitcoin is still dominating the market as the most popular coin, mass adoption still hasn’t been achieved. Although banks such as JP Morgan are showing a greater interest in cryptocurrency, it’s no surprise that there is still a lot of hesitation. Not just from banks, but also from individuals in society.

Could government regulation around cryptocurrency lead to a brighter future for Bitcoin? Robert Bernard explores in this research paper.  Throughout the paper, he addresses the legalities surrounding Bitcoin and what the future of cryptocurrency could look like.  Federal authorities, specifically FinCEN, have acknowledged that Bitcoin services are subject to its regulation. Additionally, a federal court has applied securities law to Bitcoin investment projects. This should all be seen as a positive for the future of Bitcoin.

Although many Bitcoin maximalists would naturally be against such regulation, Robert Bernard argues that it should be seen as a positive thing for the industry. Not only would it help to keep people and their funds protected, but it would also create greater confidence in the consumer market.

The government’s changing stance in some countries has also resulted in investment in Bitcoin business ventures. One business commentator has called Bitcoin “the hottest investment in 2014.”

Want to see how regulation and the cryptocurrency has changed since then? Access this research!