Regulators want to make sure they protect investors from scams, while at the same time allowing the industry to develop and deploy the new technology in interesting ways. Overregulation could move the action elsewhere, which is what happened in China.
Its too early to tell who's doing the best job of setting the rules. Nations are taking various tasks.
What do you think?
Regulations will limit the cryptocurrencies and make it harder for them to shine but over all it wont kill them. Certain regulations need to be introduced so we can use cryptocurrencies safely and effectively so in ways, regulations with help them boom. Obviously over-regulating, like in China, will have a negative impact but no enough to stop them from succeeding. It looks like as time goes on, regulations will adapt to allow cryptocurrencies to strive. Governments are making harsh regulations now which are likely to ease up once people learn more about crypto.