Bitcoin can 'easily' be ten percent of gold in 2021, says Mike Novogratz

Source: Pixabay

On the price front, the crypto-market, backed by an exponential hike in Bitcoin’s^[1] price, is outperforming its projections this week. On the regulatory front, however, the industry has found a lot to contend with. With the industry gaining more maturity as the months roll by and institutions finally recognizing, accepting, and adopting the market, regulators, particularly the ones in the United States, are gunning to expand their control on the still-nascent sector.

The FinCEN’s recently-proposed^[2] rules that would mandate stricter KYC processes for fund transfers from a centralized exchange to a personal wallet are an effort at doing the same. Understandably, these proposals drew a vehement response from many in the community, especially since they came on the back of the regulatory efforts to regulate the stablecoin market.

However, while most believe these proposals are last-ditch efforts taken by an outgoing administration, there might be more than what meets the eye. This was the view held by Galaxy Digital’s Mike Novogratz^[3] during a recent interview^[4]. According to the exec,

“….they (proposed regulations) are not actually designed to go after Bitcoin and Ethereum per se. They are designed for the companies that traffic in them. And those are mostly companies in retail.”

This is an interesting perspective, especially since many have been quick to jump on the “U.S Government is going after