Ethereum Co-Founder Compares Crypto Regulation in the U.S. to "Anarcho-Tyranny"
Vitalik Buterin criticized the current regulation of cryptocurrencies as securities in the U.S., describing the following dilemma:
🔵On one hand, the system essentially encourages the creation of useless tokens and promises of uncertain profits, allowing them to remain outside regulatory control.
🔵On the other hand, if you provide customers with clear information about their rights and the project's tokenomics, the product is classified as a security with all the ensuing consequences.
"The gradient of incentives created by this 'anarcho-tyranny' ultimately ends up being worse for the space than just one or the other," Buterin stated.
😞 He expressed hope that issuing a token "without providing a clear long-term story of why it will retain or increase its value" would become more risky.