The crypto markets roared back to life at the beginning of 2019 after having a poor year previously, but many concerns remain despite the impressive show in the first half of the year so far. In an interview, the Managing Director of the advisory firm PFYN Advisory, Patrick Franz, spoke broadly about the range of changes that could eventually propel the crypto space even further in the years to come.
PFYN wishes to eventually harness a crypto markets ecosystem in which traders from all over the world can buy and sell cryptocurrencies around the clock without any worry in the world. Franz said that some of the biggest complaints he has heard about from clients related to delay in execution, difficulty in trading in the US Dollar in most exchanges, and the delay in settlements. That can lead to a lot of heartburn and loss of money for any trader.
Traders and Investors in the Crypto Markets
When asked about the best way in which space could become friendlier for traders and investors, Franz stated that meaningful regulations are the only way forward. He said that for an ecosystem to flourish, the investors need to have a degree of protection, and that can only come from regulation. He went on to state that although many crypto exchanges do claim to be regulated, an investor needs to look at the regulations pertaining to the entity that ultimately owns an exchange.
Lastly, he stated that another challenge for crypto markets at this point in time is the fact that the market is currently far too fragmented and prices vary considerably from one exchange to the other. In such a situation, it is difficult to envisage institutional investors getting into the space in a big way. However, Franz did go on to add that PFYN is working on ways to address these problems and has spoken to banks in Europe and Oceania regions with regards to the possibility of instant settlements.
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