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Politicized Crypto Regulatory Crackdown Could Hinder Blockchain Decentralization, Says Bernstein Analysts

According to analysts at Bernstein, the classification of all crypto tokens, except for Bitcoin, as unregistered securities could hinder the decentralization of blockchain networks over time. They argue that the use of securities laws from decades ago does not take into account the aim of blockchain networks to transform the financial and securities market systems.

The United States SEC's recent charges against Binance and Coinbase for listing unregistered securities may have influenced the Nigerian SEC to regulate the crypto market in a similar manner. The different crypto regulatory scope is splitting both the blockchain industry and countries into jurisdictions, which could force crypto projects to provide services according to different regulations.

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