Co-founder of Ethereum, Vitalik Buterin, responded to questions from the community regarding regulatory direction on Warpcast. He pointed out that the current major regulatory state in the United States is “anarchy.”
The U.S. Securities and Exchange Commission (SEC) recently accused MetaMask’s swap and staking products of violating federal securities laws. Its parent company, Consensys, has been operating as an unregistered broker-dealer since 2020 and has been involved in the issuance and sale of unregistered securities through MetaMask. At this sensitive time, Vitalik, the co-founder of Ethereum, expressed his views on U.S. regulation.
In Warpcast, a social media platform built on the Farcaster protocol, Vitalik responded to questions from the community regarding regulatory direction. He pointed out that the current regulatory efforts have pushed well-intentioned cryptocurrency developers into difficulties. Vitalik emphasized that the current regulatory policies have not effectively distinguished between genuinely valuable innovations and potential fraudulent activities, causing troubles for the entire industry.
Vitalik believes that overly stringent regulatory measures make it difficult for honest and innovative developers to operate within a legal framework. This not only dampens the enthusiasm for innovation but also poses challenges to the industry’s development. He emphasized the need to establish clearer and more reasonable policies to encourage innovation and technological progress while effectively combating malicious behavior.
In the final part of his response, Vitalik expressed his hope for a transformation in the regulatory environment. He suggested that token issuances without clear long-term plans and economic value should be seen as riskier, while those that provide clear long-term value propositions and adhere to best practices should be considered legitimate and secure. He believes that achieving this requires sincere cooperation between regulatory bodies and the cryptocurrency industry to jointly formulate reasonable regulatory policies.