Quote from: millenniumcoin on April 08, 2018, 02:55:44 PM

I don't agred with you that regulations are good for cryptocurrency ICO and obviously, crypto are not meant for any kind of regulation -call it good or bad regulations, the bottom line is that bitcoin and altcoins regulations will affect Cryptocurrency usage because this is a peer to peer decentralized blockchain that does not require regulations by any persons or group of persons.

Now these are some examples on attempts by governments to regulate Cryptocurrency.
In December 2013, the Chinese government banned financial institutions from using bitcoin, causing a downturn in the cryptocurrency's value that would set a precedent for its worth over the coming years. Less than a year later, in April 2014, several Chinese bitcoin exchanges had their bank accounts closed. That spurred concern that government oversight limiting access to fiat currency (traditional, 'real world' currency) could be lead a wave of future regulations to curtail bitcoin's growth. Yet loopholes in the crackdown meant many exchanges stayed in business, and bitcoins price rose some 25 percent in the 10 days that followed.
Again ,
the U.S. has made localized attempts to regulate specific aspects of bitcoin. New York State requires a "BitLicense" for bitcoin related businesses, with specific rules for employee vetting and identification. Just last month, the IRS won a landmark ruling to gain access to information about 14,000 historic Coinbase accounts, in an attempt to gather back taxes from owners.
While some of those instances are more concerning than others, none of it has stopped bitcoins growth. That reveals the flaws of any future attempts to crack down on bitcoins use.

That's actually a subject for a long and multi-threaded discussion, since it involves a lot of scientific research and the corresponding knowledge of both Social, Legal, Economic, STEM and Cybernetic fields. I wouldn't dare to call myself a prominent expert in any of those, yet I have some brief compiled opinion to add to the descussion.

Most ICOs have almost nothing in common with cryptocurrencies, other then using a smart contract over a some relatively primitive blockchain. They are generally startups, looking for funding. Most ICOs are indeed fund raising events, using future potential returns anticipation, expectation or promise as a mean to get such funds now. This kind of activity (get money today for some promises in the future), among in general honest crowd, also always attracts scammers, fraudsters and other indecent people, since their can and used to use plausible deceits to get some easy money. And the hotter the market is the easier it is to defraud a client. Toprevent such harmful activities, it has to be either self-regulated by the market participants, or self-regulated with the market environment (protocols), or regulated with some professional authorities.

It is absolutely obvious, that centralized regulations are outdated in many aspects and can not support the potential growth, we can see many examples, where they fail and perform worse, than would perform a simply scripted bot, which just executes the same rules, as such organization. Yet, there is also many ways to implement many procedures on a protocol level or as a part of self-regulation system, but it is quite hard (most likely impossible) to build a system preventing all fraud and other potential crimes from being committed in this system, without sacrificing its flexibility and its development potential. Have a human-managed regulator is a good compromise solution at this moment of time, while automated and self-governing systems and protocols are still far from being well done or wide spread.

Now, regulations give ICOs and crypto-currencies validity and recognition on a legal level. It looks as a necessary glue between the existing system and the newborn industry. I would agree, that most crypto-currencies can easily exist without any legal recognition, yet it is also true, that it will diminish their social impact and potential. If they won't be able to use most mass channels, they won't become a standard. Niche - maybe, still with tons of troubles and a permanent risk of legal actions their against users.