According To Mark Moss, CEO of Market Disruptor, After the collapse of FTX, the regulation of the cryptocurrency industry has become a top priority. He suggests that future cryptocurrency bull runs are unlikely to occur, however, Moss expects that bitcoin will remain as popular as ever. “Solving a problem that has plagued humanity since day one.”
Market Disruptor CEO Forecasts Regulatory Change in the Wake of FTX Collapse, Predicts Most Crypto Assets will be Treated as Securities in the Future
On December 29, 2022, Mark Moss, CEO of Market Disruptor, had a conversation with Michelle Makori, Kitco News Senior Anchor and Editor-in-Chief, about the cryptocurrency and the bitcoin (BTC) industry. Moss believes that the recent FTX-crash has expedited the regulatory process and a majority of crypto assets will be treated as securities. For example, the US Securities and Exchange Commission (SEC) issued charges against FTX cofounder Sam Bankman-Fried and FTT, FTX’s exchange token, is an unregulated security.
New Hampshire court also sided with the SEC in the case against LBRY. LBRY argued that the language used by the court to make its decision “sets an extraordinarily dangerous precedent.” Moss suggested that projects must disclose all information to investors if they view crypto tokens as securities. “Think about Ethereum going through full disclosure,” said Moss during the interview. “Who created the token? How many coins are controlled by insiders?”
The Market Disruptor executive and author of “The Anti-Communist Manifesto” added:
What is the relationship between the Ethereum Foundation, Joseph Lubin and Vitalik Buterin? Who controls the Merge block tokens? It’s hard to imagine them wanting to [go through full disclosure].
Moss acknowledged that some crypto projects may move overseas, but he doesn’t think US investors will follow those projects. “Sure, the SEC clamps down and [cryptocurrencies] go overseas… to a small jurisdiction,” said Moss to Makori. “But US VC firms can’t get around US regulations in order to invest on these small dark markets. So sure, they will move to another country… but the money that drives all of the market capitalization won’t.”
While Moss doesn’t expect an altcoin bull run or another altcoin season, he is certain that bitcoin (BTC), the most popular crypto asset, will continue to thrive. Moss is convinced that BTC is a “technological revolution that changes the course of humanity and drives financial markets forward.” Moss further noted that he does not want the regulatory hammer coming down and that he was merely explaining how he sees it. Moss emphasized:
Now is the right time [regulators] will be forced into action. The SEC looks terrible…the [SEC’s] job number one is to protect consumers. They have failed. They should be shut down in disgrace and the shop must be closed…Of course, that is unlikely to happen. But they must regain trust somehow. [the FTX collapse] is going to force [regulators] to act.
Moss Forecasts Bitcoin Price to Hit $33,000-$38,000 Next Year, Debate on Securities Classification in Crypto Industry Looms
In 2023, Moss believes that BTC will likely reach $33,000 per unit and even $38,000, according to the company. “Bitcoin is solving a problem that has plagued humanity since day one, which is, how do I secure my property so it can’t be tampered with, seized or stolen?” said Moss. “I have custody of [Bitcoin] and if I want to send it to you, no one can stop it, block it, or stop it.”
There is much debate around whether crypto assets should qualify as securities. Regulators in the US have not reached a consensus. The SEC Chair, Gary Gensler believes that crypto tokens can be used as securities. “The law is clear on that. I think, based on the facts and circumstances, most of these tokens are securities,” said Gensler in an interview.
Gensler also noted that he could confirm bitcoin (BTC), but that it was the only crypto token that he would talk about in that manner. In May, US Commodity Futures Trading Commission (CFTC) Chairman Rostin Behnam stated that he was certain that Bitcoin is a commodity. “Well, I can safely say that Bitcoin… is a commodity. Ether too,” Behnam explained in an interview with CNBC.
