Ripple Labs Inc. Policy Director Rahul Advani is the most recent to offer his forecast for the cryptocurrency industry in the coming year.
Advani anticipates tokenization will increase regulatory oversight in the Asia Pacific region, commonly known as APAC.
The Policy Head expressed his stance unequivocally regarding tokenization in 2024. He stated that a heightened interest in tokenization will increase the regional emphasis on regulating decentralized applications (DApps).
In the cryptocurrency industry, several initiatives have already embraced tokenization, demonstrating the industry’s evident interest in the technology.
Iota and Fireblocks formed a strategic alliance this week, intending to transform asset tokenization. More precisely, this action incorporates the Shimmer Ethereum Virtual Machine (EVM) from Iota, a chain compatible with the resilient infrastructure of Fireblocks.
Recently, the United Kingdom has also adopted fund tokenization.
In addition, Advani noted that APAC regulators were intensely focused on enhancing cryptocurrency regulation in 2023.
These regulators exert significant efforts to ensure regulatory clarification in the digital asset industry.
The majority of the guidelines that were put into effect were designed to protect both customers and retail investors.
In addition to attempting to preserve market integrity, these APAC regulators ensured that companies complied with the general market conduct requirements.
Advani remains optimistic as the new year approaches, anticipating that this endeavor will persist, albeit with an increased emphasis on safeguarding the retail sector.
Stablecoins are fundamental digital assets that necessitate a solid regulatory framework, mainly due to the strict enforcement of their value stability.
Certain regions are presently engaged in the process of formulating regulations for stablecoins, whereas others have already ratified the legislation. Regarding regulation, the executive of Ripple Labs has greater expectations of APAC jurisdictions.
Advani eagerly awaits the provision of regulatory clarification by each jurisdiction in the region, which will not only facilitate innovative projects but also ensure the protection of its customers.
Recently, Central Bank Digital Currencies (CBDCs) have received less attention, most likely due to the increased emphasis on spot Bitcoin Exchange Traded Funds (ETFs).
Nevertheless, the executive at Ripple Labs expresses optimism regarding the concentration of more outstanding endeavors on creating and executing these domestic digital currencies.
The forecast made by Advani is merely one in a series of predictions made by Ripple executives. President of Ripple Monica Long predicted an end to the “speculative hype cycles” that have characterized the industry’s booms and crashes since the inception of Bitcoin (BTC).
Stuart Alderoty, CLO of Ripple, was preoccupied with the outcome of the company’s lawsuit against the SEC as well as other policy and US crypto regulation concerns.
