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dc.contributor.authorMateen, Maha
dc.date.issued2023
dc.description.abstractThe novel nature of cryptocurrency creates challenges regarding regulation. To understand regulation, it is important to understand creation of cryptocurrency and the underlying technology. Bitcoin was created in 2009 in response to the Great Financial Crisis of 2008. It uses blockchain technology and cryptography to process and secure transactions. Cryptocurrency exchanges provide a platform for investors to trade crypto assets. Futures Exchange (FTX) was a prominent centralized cryptocurrency exchange which collapsed over a 10-day period. This bankruptcy called attention to the regulatory gaps for crypto exchanges. Regulatory bodies are working towards expanding regulation in this evolving industry. The Securities and Exchanges Commission (SEC), Commodity Futures Trade Commission (CFTC), Internal Revenue Service (IRS), Financial Accounting Standards Board (FASB), and Financial Crimes Enforcement Network (FinCEN) have all taken responsibility for creating rules and regulation in the industry. A notable gap in regulation is caused by large crypto exchanges registering as Money Service Businesses (MSBs) with FinCEN as this classification does not provide the appropriate oversight for an exchange. Crypto exchanges operate like traditional financial institutions without adhering to the regulation outlined in the industry. Lack of regulation causes crypto exchanges to make risky and potentially fraudulent decisions which endanger investors. The popularity of cryptocurrency has caused large amount of currency to be stored in these platforms which can be catastrophic when an exchange fails. Stricter regulation is needed for cryptocurrency exchanges to rebuild investor confidence and give investors the protection they need.eng
dc.identifier.urihttps://hdl.handle.net/10355/95309
dc.publisherUniversity of Missouri -- Kansas Cityeng
dc.titleRegulation in the Cryptocurrency Industryeng
dc.typeThesiseng


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