Popular cryptocurrency analyst Benjamin Cowen expects altcoin prices to drop significantly in the face of impending regulation on the industry.
In a new interview with Digital Asset News, Cowen said: To tell Regulators could set their sights on the crypto space, potentially targeting issues such as the energy consumption of proof-of-work blockchains and whether certain altcoins are unregistered securities. be.
Last week, U.S. Securities and Exchange Commission (SEC) Chairman Gary Gensler said: alluded to that Ethereum (ethereum) can be viewed as security after major smart contract platforms move to proof-of-stake.
“I think the ALT needs to go down significantly. Not only with respect to the US dollar, but also with respect to Bitcoin, I think the narrative that drives it becomes a regulatory concern for the altcoin market.”
Cohen said such a situation could raise questions about whether these assets can be listed on cryptocurrency exchanges.
“If altcoins are considered securities, we have to consider that it is not necessarily a bad thing. It does not mean that [fear, uncertainty and doubt]in the US, there may be some questionable things related to [the question of] Can US exchanges list them?”
Cowen Recalls What Happened After Regulators Filed Lawsuit Against Ripple Over Claims Payments Firm Sold XRP As an unregistered security.
“Remember when the SEC filed a lawsuit against Ripple. In the US many exchanges delisted Ripple or XRP. What if that’s just the tip of the iceberg for what’s to come in the altcoin market?…
Regulations on Proof of Stake and such are generally securities if there was an ICO, that sort of thing. Something like that really creates a lot of fear very quickly and could lead to the next drop in the altcoin market, more specifically like altbitcoin pairs going back to bitcoin.”
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