By Frank Leonette
The last decade has passed with the foundations set to disrupt the future. The seminal influence of Satoshi Nakamoto has been immense in providing new frontiers.
Bitcoin was the first Blockchain technology to make an impact and shape a new generation of libertarians, thinkers, and futurists, all with the same goal… adoption!
Blockchain Technology is becoming a top priority within many fortune 500 companies wanting to enhance business processes as well as discovering new use cases in their organisations.
Interoperability and integration will be required to bridge the legacy and future systems, ultimately slowing down progress.
Startup companies using blockchains are less dependent on the need for legacy integration as they can develop solutions that do not depend on legacy systems, but rather disrupt them.
Decentralised applications (DApps) are applications deployed on blockchains that have enabled startups to implement business models on blockchains without the need for heavy machinery or massive operational costs.
Nevertheless, much to the delight of “big business,” adoption has moved at a snail’s pace due to a lack of a regulatory framework.
Large corporations and businesses have always relied on regulation to level the agility of its competitors.
The cost of implementing regulatory compliance can be immense for small companies. Startups that have revolutionary business solutions now must comply with old forms of government regulation.
One of South Africa’s largest cryptocurrency exchange AltcoinTrader was facing similar obstacles shortly after launching in 2015.
The company realised that it needed to double its operating expenses as well as focus much of their application development away from crypto-related services to focus on regulation. These detours can impede a company’s competitive edge and alter a business direction.
Companies that have had the opportunity to embrace self-regulation over the years will find themselves in a good position.
Having done the hard yards, they will be able to adapt to the new regulatory requirements quickly.
The year 2020 seems to be the year that the crypto industry will embrace the challenge of full financial regulation.
Traditional financial institutions seeking to enter into space will do so with a level playing field and will not have to overcome the cost and complexities of compliance.
Most cryptocurrencies and assets have not succeeded in penetrating the broader market segment. With a regulatory framework about to unfold the sentiment towards cryptocurrencies may begin to change as most people need the comfort and institutional control of their investment portfolios.
Traditional institutions that did not initially understand the technology and slated crypto assets like bitcoin will find themselves embracing the industry as they are no longer left out in the cold.
Traditional financial institutions have already started to gear themselves up to onboard cryptocurrencies like bitcoin that have outperformed all other regular asset classes for the last five years.
Regulation may advance the cause for crypto adoption and even bring about much-needed control to rogue industry players, but what will be amusing is to observe how the actual instruments like bitcoin will be contained.
Bitcoin and other related crypto assets are intrinsically designed to operate in a regulation-free world.
To start trading cryptocurrency, visit AltCoinTrader.
This article was published in partnership with AltcoinTrader.