Kosala Hemachandra, the CEO and founder of MyEtherWallet, has defined what crypto-friendly means. With nations around the world each holding significantly different regulations, he labeled the query as a tough one.
“First we have to define what crypto-friendly means. Some countries, like China, are looking at issuing government digital currencies, which would encourage swift adoption, but is not faithful to the decentralized spirit of crypto.”
It has been reported that China has proven itself as one of the less-crypto-friendly countries throughout the years, seen in various restrictions and bans.
However, throughout 2020, China has pushed significant efforts for its central bank digital currency, the digital yuan, although such an asset differs from the decentralized and open digital assets native to the crypto industry.
“In some places, especially those where fiat currencies are unstable or highly inflationary, regulations may be against crypto, but there is widespread use of client-side crypto solutions.”
As per the report, the United States has a unique situation in which each individual state carries different laws and regulations while also under the purview of the federal government.
“In the U.S., crypto-friendliness can vary significantly from state to state.”
This concept often shows itself when US-based crypto platforms release new products or services, launching in certain states with others following.
Also, Hemachandra explained:
“Looking for the most crypto-friendly geographic region is not necessarily the most helpful framework, since every crypto service provider must and does aspire to a global usership. As companies in the space, what we can do is stay focused on making crypto safer and friendlier to use, so that adoption is encouraged and geographic boundaries matter less and less.”
Thus, the crypto space has grown in 2020, seen both in Bitcoin’s price rise and the decentralized finance boom, and during this period in the blockchain industry’s evolution, the US has continued to pursue legal enforcement of the technology.