Elon Musk urges US government not to do anything with the crypto regulations plan as governments can hamper the progress cryptocurrencies have according to him so let’s find out more in our latest crypto news.
Tesla’s CEO Elon Musk urges the US govt to not do anything in regards to crypto regulation and he advised the officials to let crypto “fly” instead of implementing legislation on it. He gave his reasons why China has quite a hostile stance on crypto. In a recent interview with Kara Swisher, Elon Musk shared his opinion on some of the hottest topics in the crypto space. While admitting that he is not a crypto expert, Tesla’s founder opined that bitcoin and other altcoins are valuable to the financial network as they are able to reduce the error and latency in teh money stream.
Another merit is the decentralized nature of the digital assets that make it hard for authorities to control them:
“You know, when governments can’t keep the hand out of the cookie jar and edit the money database, there’s probably some value to that.”
With that said, Musk urged the American governemnt not to regulate crypto and went further by saying that doing nothing would be the best-case scenario:
“I would say, do nothing. I would actually say, just let it fly.”
Tesla’s CEO believes that authorities aren’t capable of running the crypto industry as they can only stagnate its progress:
“It is not possible to destroy crypto, but it is possible for governments to slow down its advancement.”
It is worth noting that at the start of August, right before the crucial vote on the crypto taxes from US Congress, Musk put his name to those that are opposing the implementation of a regulatory framework on crypto. He said that this is not the right time to pick tech winners or losers in the crypto technology as there’s no crisis that can compel hasty legislation. According to Musk, there are two main reasons why teh governemnt of the country has a hostile stance on digital assets. First, altcoins are a huge threat to the Communist Party of China which wants to keep a centralized power:
“Cryptocurrencies are aimed at reducing the power of the centralized government and they don’t like that.”
China has huge electricity generation issues as the power demand is higher than expected. Keep in mind that the energy consumption that crypto mining requires so it is no wonder why the local government banned the asset class.