According to Ryan Selkis, CEO and founder of Messari, regulators may see Crypto’s recent growth as an issue.
“I’ve never been more optimistic about crypto, but I think anyone could misjudge global regulatory risk,” Selkis tweeted Thursday, adding:
“If crypto looks like a toy, it’s not a threat. When stablecoins reach PayPal volume and become private, it looks like a weapon.”
In the months after falling below $ 4,000 in March 2020, Bitcoin (BTC) surpassed the $ 60,000 price. DeFi net worth also increased last year. Yearn.finance (YFI) rose from less than $ 1,000 to over $ 48,000, based on CoinMarketCap data. Non-fungible tokens, the current industry craze, are possibly the biggest of them all – an artist named Beeple recently sold an NFT artwork for $ 69 million at auction.
Selkis listed his price target for bitcoin profit taking as relative to regulatory concerns. “I have $ 80,000 early sales orders,” he said in his tweet. “Selling 5% $ 80-100,000 and another 5% $ 100-125,000,” he said in a separate tweet in response to one of the comments on his first post. “Then we’ll see where things go from there,” he added.
During the last big crypto boom in 2017, first coin offers or ICOs were the big deal. In the years that followed, US regulators increased their governance in this sector and took action against a number of projects. Regulation has also affected crypto in other regions in various ways, including the European Union with its 5th Anti-Money Laundering Directive.