The challenges and opportunities of Global regulation | Crossing Borders Panel at Futurist 2023

Explore the challenges and opportunities of global regulation in the digital asset industry, including the need for clarity, consistency, and global standards, and the role of FinTech and regtech solutions in shaping the future of the space.

Key takeaways
  • There is a need for global regulation in the digital asset industry due to the complexity of the space and the risk of illicit activities.
  • The concept of “decentralized” is not well-defined and can lead to confusion and misinterpretation.
  • Regulatory clarity is a key factor in determining the attractiveness of a jurisdiction for digital asset companies.
  • Passporting between jurisdictions is a promising direction for the future, allowing companies to operate globally with a single regulatory framework.
  • The financial technology (FinTech) sector is driving innovation and growth in the digital asset space.
  • Regulators are under pressure to demonstrate effectiveness in combating illicit activities, and this can lead to a focus on enforcement rather than education and engagement.
  • Industry stakeholders can shape favorable outcomes by providing meaningful comments and use cases to regulators.
  • It is essential for regulators to understand the nuances of the digital asset economy and the risks and benefits it presents.
  • Lack of clarity and consistency in definitions and applications can create uncertainty and make it difficult for companies to operate in the space.
  • The need for global standards is critical, and initiatives such as FATF can help promote financial stability and market integrity.
  • Building regtech solutions can help address regulatory challenges and improve the overall regulatory environment.
  • Engagement with regulators is key to shaping policy and ensuring that it is effective and proportionate to the risks and benefits of the digital asset industry.