JPMorgan said in a research report that crypto market regulation initiatives already underway will likely accelerate after the collapse of FTX and Alameda Research.
JPMorgan thinks that regulations that have been on the agenda for a long time will accelerate after the recent events in the crypto money industry. The bank recently published a report on this issue.
JPMorgan: Tightening Cryptocurrency Regulations Could Lead to Pressure
In its report, JPMorgan mentioned the possibility that cryptocurrency regulations could be brought even earlier. Although the recent events in the crypto money industry have strengthened this situation, the bank stated that this situation may cause pressure in the sector if the regulations are delayed.
After the European Parliament gives its final approval to the European Union’s Crypto Asset Markets (MiCA) bill, there is a transitional period of up to 18 months before the regulation takes effect. Recent events could lead to pressure to shorten the timeline, the report said.
The bank says it garnered more attention following the Terra crash in May, as there is a perceived need for U.S. regulatory initiatives, increased surveillance and consumer protections. More urgency is likely after FTX’s collapse in November.
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