Brian Brooks, Appearing Comptroller of the Forex stated the way forward for cryptocurrency laws is within the palms of the folks, and never the federal government.

He told Cointelegraph’s Alex Cohen at the LA Blockchain Summit that he believes that change tends to occur slowly. Whereas the Web 1.0 didn’t appear revolutionary, look the place we’re at now.

“Ultimately, it’s the market and shoppers that may determine the destiny of crypto regulation, not the federal government,” stated Brooks, previously the Chief Authorized Officer at Coinbase. 

He defined that the function of the federal government is to arrange a regulatory framework to forestall cash laundering, fraud, and different legal actions — to not construct tech or situation a token.

“The federal government has no historical past to construct merchandise that innovate and provide folks good decisions. They don’t situation vacationers checks, American Specific does. They don’t situation pay as you go playing cards, Citibank does. So why do we expect it’d be totally different in developing a funds instrument?”

As an alternative, the federal government must concentrate on what it does finest: establishing guidelines and conducting supervision. “We’re making an attempt to construct the framework, we’re excited that there are tech corporations popping out with tokens. Let’s marry these two issues up,” he stated.

Brooks believes that decentralization is inevitable and makes use of the analogy of how submit places of work have been the central authority for communication at one cut-off date, however web P2P communications have made them nearly out of date. He imagines the identical situation will play out for the crypto business. “In the future finance might look so much like communication at this time,” he stated. “The central authorities might not play as large of a job as they carry out at this time.”

“I don’t advocate for that, however I additionally don’t resist it — the purpose is that the trendlines are most likely unstoppable at some degree and we simply must put a framework round that so that individuals don’t get scammed sooner or later any greater than they get scammed at this time.”

Brooks appears much less involved with the issue of cash laundering in crypto than some officers, and he identified that a lot cash laundering occurs within the present banking system.

“If there are unhealthy actors in crypto, we have to do what we are able to to cease these actions similar to how we do with the banks. Believing that there’s a future state the place we are able to eradicate legal exercise or danger fully, is foolhardy.”