Cryptocurrency has been known to make fortunes for those who got in early and know what they’re doing, but the downside still is the unregulated nature of the industry and the widespread use of it for criminal activities.
Many refer to the market of cryptocurrencies as a type of wild west. Dan Waslyuk is one of those investors who got into the business early and was a victim of what could happen to anyone.
Wasyluk and those he worked with, raised capital in the form of bitcoins for a tech venture they were putting on. They decided to hold their coins in a cryptocurrency exchange known as Moolah. Moolah soon collapsed, and the owner of the company is currently awaiting trial.
After losing around 750 bitcoins, the project took a hit of around $3 million just like that. Wasyluk stated that he doesn’t believe he has a chance of recovering the many as that “it really was kind of a kneecapping of the project.” He further stated that “of you are starting an exchange and you lose clients’ money, you or your company should be 100 percent accountable for that loss. And right now there is nothing like that in place.”
The beginning of cryptocurrencies promised a new way to use money in a more secure fashion, but anything but that has happened. Many of the concerns from the public lie on the extreme volatility of the industry and distrust for the markets where the coins are bought and sold, and they aren’t wrong.
The market is incredibly new and has only been taken mainstream in the past couple of years. With more individuals choosing to enter the space either by investing or using the money to fund a company, regulations should be put in place. The question still remains though, how can you regulate a decentralized industry?