Regulatory agencies in various parts of the world are focusing their attention on the cryptocurrency space thanks to the market’s rally last year.
The CEO of FTX crypto exchange Sam Bankman-Fried told Bloomberg in a recent interview that this year will be one of regulatory clarity for the cryptocurrency industry. He believes that the market will gain further regulatory clarity over the next few months.
Bankman-Fried said the cryptocurrency space had gained the attention of regulators all over the world over the past few years, a sign that the market has been growing. He added that there are ongoing political efforts to touch the issue of cryptocurrencies in the United States Congress, the Securities and Exchange Commission (SEC) and the Commodities Futures Trading Commission (CFTC).
According to the FTX CEO, numerous government agencies looking at the crypto space is a good thing, and this year will be even busier for the regulators. He said the regulatory clarity would lead to further institutional adoption of cryptocurrencies. He added that;
“I’m optimistic about it (the price of Bitcoin), And the things that make me optimistic basically are (related to) more regulatory clarity in the US and globally -which I think could help a ton- and institutional adoption. And I think those are also related to each other.”
However, Bankman-Fried said he doesn’t expect anything on the regulatory front over the next few months. He reckoned that it is a gradual process and will take a few months before the market begins to see any move from the regulatory agencies.
Bankman-Fried told Bloomberg’s Emily Chang that he is very optimistic about Bitcoin’s performance in 2022. He maintained that it is virtually impossible to determine how Bitcoin will perform over the coming months. However, he is optimistic that the leading cryptocurrency will touch the $100k level before the end of the year.
The FTX CEO also expects to see more coins in the metaverse space over the next few months. He said;
“I think (we’ll be) starting to see digital assets make an appearance there (in the metaverse). I expect that’s going to happen in the next few years.”