The Chief Executive Officer of the Major Cryptocurrency Exchange, Bitstamp, says his trading platform is experiencing “tremendous interest in cryptocurrencies” from institutional clients. “Many corporate companies are looking to move to crypto for the first time.”
Bitstamp CEO’s Opinion on Crypto Regulation, Corporate Interest
Bitstamp’s global CEO, Jean-Baptiste Graftieaux, shared his view on cryptocurrency regulation in an interview with Business2community, published on Monday.
Speaking about crypto winter, he explained that Bitstamp has a “very active licensing journey in all regions – 10 in progress globally.”
The Executive Director added that his cryptocurrency exchange would increase his regulatory footprint over the next two quarters in order to be “in a strong position to participate fully in the next upward round.” “We see a strong trend on the institutional side,” he said, explaining:
Many corporate companies are looking to move for the first time to encryption – there is tremendous interest in cryptocurrencies from our institutional customers.
The Chief Executive initiated the discussion on the organization of encryption in Europe. “What we are witnessing today is not very smart in Europe,” he said.
As an example, he explained that a crypto service provider wishing to do business in Europe must register with each individual country as a virtual asset service provider (VASP). The President of Bitstamp asserted that “each country has its own requirements”:
So with MiCA coming in 18 to 24 months, it will be a game changer because there will be a level playing field.
The MiCA proposal was presented by the European Commission in September 2020 to regulate the cryptocurrency market as part of its digital finance strategy. The European Central Bank (ECB) hopes that MiCA will help provide a coordinated legal framework for encryption assets.
Description of Graftieaux: “There will be one country where you can establish your activities as MiCA compliant and then passport activities across different European countries.”
The CEO of Bitstamp explained, “I think we are seeing a good trend from a regulatory point of view as we engage with regulators on an ongoing basis”, concluding that:
Most regions and countries are looking at regulating encryption. The main danger here is to ensure that regulations are smart and promote equality of opportunity.