Institutional adoption and favourable regulation are the last pieces of the puzzle necessary for widespread acceptance, here’s how to go about getting them.
In the crypto world, financial institutional adoption is seen as a holy grail and an important milestone in the legitimization of the industry. After all, this would be a clear sign that the elites view crypto, not as an enemy, but as a new and exciting industry to invest in.
However, this is a tough sell. Especially as the industry was popularized as a means of purchasing drugs. Furthermore, the contrarian and antagonistic attitude that the crypto community at large has towards regulation earns us no friends, and actively signals we might be a threat. This, obviously signals to the powers that be to come after us with all the regulatory power that they have, and we will be worse off for it.
We must show a willingness to work within the system, as opposed to actively working to destroy the status quo. The future lies in creating clear Know-Your-Customer (KYC) protocols to increase Anti Money Laundering (AML) defences. This would be a good olive branch from the crypto industry to the establishment to create deeper ties between each other; as it would instantly disarm some of the major criticisms that cryptocurrencies receive.
This doesn’t mean that the fantastic potential of blockchain technology would be killed, just directed towards more productive ends.
After all, if there is a powerful enough technology that is introduced to society, the society has no other option but to change. This is what happened to the internet - despite having no revolutionary aspirations, and arguably designed by the establishment as a military project, society has had to adapt to the internet, not the other way around.
Innovation can still happen within the confines of regulation. However, we can begin to innovate without the worry of having a target on our backs.
The CRD Network, a DeFi ecosystem bridging crypto and traditional finances, believes that working with the established players is the best way to thrive in the ever-changing landscape of crypto. To that end, we are consulting with the non-profit blockchain advisory organization WACEO, to structure the CRD Network to be as legally compliant as possible.
Hence, we have begun our KYC protocol, which will identify account users and mark their wallet addresses as having been verified. Over time, this will create an environment wherein all participants have been vetted and while the participants will be able to still transact anonymously, we will be able to invite financial institutions to join, as their primary concerns of unidentified users potentially engaging in illegal activity would be assuaged.
The industry is evolving, and in order to reach mainstream adoption and acceptance, we must evolve with it!