There has been much debate about how the US government should treat cryptocurrencies, but there appears to be little consensus on how it should actually do so. This lack of clarity has created confusion and hesitancy among investors and other financial stakeholders, which may stifle cryptocurrency adoption in the United States. It’s time for the government to step up to the stage and provide clear regulations regarding cryptocurrencies, lest its inaction results in the ecosystem being crushed by those in more forward-thinking jurisdictions that have already taken the necessary steps towards regulation and adoption. The Florida Atlantic University’s College of Business in the US defines regulatory ambiguity as the uncertainty in the exactness of policies controlling certain conduct or industry caused by dormant imprecise, conflicting, and selectively applied legislation. Regulatory uncertainty makes it hard for people to start businesses in the crypto market, stopping new ideas from coming up. After more than a decade, uncertainty about the legal status of the peer-to-peer vigil currency Bitcoin keeps businesses from starting up. This raises the risk and costs of complying with the law, discouraging people from starting businesses. In addition, many banks and other financial institutions aren’t ready to use full blockchain technology. Again, this is due to the uncertainty about how regulations will work. The Absence Of Regulato...
