Viewpoint: Policymakers do not regulate cryptocurrency because they believe it will die out

According to reports, the head of digital policy at Barclays Bank believes that policymakers are not slow to respond and do not expect cryptocurrencies to survive. At the recent Citi Digital Currency Seminar in London, Nicole Sandler, head of digital policy at Barclays Bank, discussed encryption regulations in the UK, Europe, and the United States. He believed that the apparent lateness of policymakers was actually intentional. Sandler said, “I think one thing some policymakers have said is that they leave this market to do what it wants because they think it will basically die out.”

Viewpoint: Policymakers do not regulate cryptocurrency because they believe it will die out

I. Introduction
A. Brief overview of cryptocurrency
B. Background information on the report
II. Digital Policy at Barclays Bank
A. Nicole Sandler’s views on cryptography
B. UK, Europe, and US regulations
III. Understanding the Legislators’ Late Response
A. Reasons for the delay in policymaker’s response
B. Risks associated with hasty regulation
IV. Future of Cryptocurrencies
A. Evaluation of Sandler’s opinion
B. Cryptocurrency’s potential survival and influence
V. Conclusion
A. Recap of the article
B. Final thoughts on the importance of policymaker’s response
VI. FAQs
# According to Reports, Cryptocurrencies May Not Survive: The View of Digital Policy at Barclays Bank
Cryptocurrency continues to be a topic of interest in the financial industry. It’s a digital form of currency that operates using encryption techniques. Cryptocurrencies have been around for over a decade, but it wasn’t until Bitcoin’s rapid growth in 2017 that it gained global attention. However, there are still concerns surrounding the legitimacy of cryptocurrencies, and regulators worldwide have been scrambling to find a way to protect consumers. According to reports, the head of Digital policy at Barclays Bank believes that policymakers are not slow to respond but do not expect cryptocurrencies to survive.

Digital Policy at Barclays Bank

Nicole Sandler, the head of digital policy at Barclays Bank, recently spoke at the Citi Digital Currency Seminar in London. She discussed the regulations surrounding encryption in the UK, Europe, and the United States. Sandler believes that policymakers’ apparent lateness in responding to cryptocurrencies is intentional.

Understanding the Legislators’ Late Response

There are reasons for the delay in policymaker’s response to cryptocurrencies. The first is the complexity of the problem. Cryptocurrencies bypass traditional financial systems, making them difficult to regulate. The second is the risk associated with hasty regulation. New policies need to reflect the underlying risks of this new currency, including money laundering and fraud.

Future of Cryptocurrencies

Sandler’s opinion is that some policymakers leave this market to do what it wants because they believe it will eventually die out. However, the future of cryptocurrencies is unpredictable. Although it’s still considered a niche currency, its market cap rose to over $1 trillion in January 2021. Bitcoin and other cryptocurrencies are becoming increasingly popular, and some businesses are starting to accept them as legitimate forms of payment.
Cryptocurrencies’ survival ultimately depends on how they will be regulated and how universal they will become. Cryptocurrencies have the potential to change our current financial infrastructure significantly. It can take on several roles, from being a store of value to a medium of exchange and could be used to transform various sectors such as real estate, governmental institutions, logistics, and e-commerce.

Conclusion

Cryptocurrencies are a hot topic in the financial industry; however, there is still a lot of uncertainty surrounding them. Policymakers worldwide are trying to find a way to regulate cryptocurrencies without stifling innovation. Nicole Sandler suggests that there may be a strategic reason behind the delay in response. However, only time will tell if this new form of currency will be regulated effectively and if it will survive in the long term.

FAQs

Q1. Will cryptocurrency replace traditional forms of currency?

It’s unlikely that cryptocurrencies will replace traditional forms of currency entirely. However, it could play a growing role in our current financial infrastructure.

Q2. Is it safe to invest in cryptocurrencies?

Investing in cryptocurrencies comes with risks, including lack of regulation and market volatility. It is advisable to do thorough research and invest only what you can afford to lose.

Q3. How does cryptocurrency benefit society?

Cryptocurrency has the potential to change traditional financial systems, reduce corruption and make transactions faster, and most importantly eliminate intermediaries in financial transactions, reduce transaction fees and help achieve financial inclusion and provide access to banking services to the unbanked population.