The creator of Ethereum (ETH), Vitalik Buterin, believes that the process of regulating cryptocurrencies is characterized by anarchotyranny.
The main problem with regulation of the crypto industry (especially in the US) has always been the phenomenon that if you do something useless or ask people to give you their money in exchange for long statements about possible dividends, then you remain free , and you are not accused of anything.
But if you try to tell your clients in detail how they will earn income and promise to respect their rights, then you will face difficulties because your brainchild is recognized as a security. The element of incentive that this “anarchotyranny” creates affects the industry worse than just anarchy or tyranny,” Buterin wrote.
According to Vitalik, the legislation should work in such a way that issuing a token without publishing a clear long-term strategy for maintaining or increasing its economic potential is a riskier undertaking than creating a coin with a clear road map that gives its owners confidence in the future. That is, the approach to regulating the digital assets industry needs to be radically changed.
By anarchy in the cryptocurrency sector, Buterin understands the opportunity to create useless products and services, and he calls the dominant hand of the regulator tyranny. Taken together, this state of the crypto community and the authoritarian form of government create an explosive mixture that poisons the crypto industry.
