Mike Novogratz, CEO of Galaxy Digital, appeared at CNBC’s Squawk Box on Thursday, December 24, 2020. In this segment, he talked about the recent Bitcoin bull market and the anti-crypto stance without regulatory clarity from President Donald Trump’s administration.
He mentioned that Trump’s administration has always maintained a tough stand for the crypto market and their crypto policies seem completely against innovation. According to Novogratz, there is a huge need for open-minded crypto regulations in the United States. Moreover, he is keeping really high hopes with the incoming Joe Biden’s administration for giving proper regulations that promote both growth and innovation in the crypto market.
Novogratz Looking for Better Regulatory Clarity from Biden Administration
Novogratz has mentioned that for the ultimate success of the crypto industry, there is a need for better regulatory clarity. As he is having huge expectations from the incoming Joe Biden administration, he stated:
“I’m hoping, you know — we get a change of the guard in 20 days — I’m hoping we can get some more open-minded regulators.”
The departure of Trump’s administration has proved to be quite tough on the crypto industry. Back in the previous week, the Financial Crime Enforcement Network (FinCEN) has proposed new rules for self-hosted wallets. The department has provided only 15 days to the community to give feedback to these sets of new rules. However, generally in this kind of proposal, there is a need for at least a period of 60 days to give the proper feedback.
SEC Lawsuit Against Ripple, a Major Hit to Industry
Another major hit for the crypto industry by the Trump administration is the recent lawsuit by the U.S. SEC against Ripple. In case the SEC wins this lawsuit, there will be a huge loss for the whole crypto industry as the majority of exchanges are trading XRP on their platform. Novogratz and other crypto experts believe that if there won’t be proper regulation for the industry, both innovation and adoption will be hindered. There will be a lot of consequences for the whole crypto industry under these regulations.