It’s been an anxious month in cryptocurrency markets, as rumors and news of China’s potential bitcoin ban spread uncertainty and doubt. This is, of course, a common refrain – since at least 2014, news of bitcoin “bans” (all unfounded so far) has caused wild swings in bitcoin’s price. These effects are amplified by the ad-hoc nature of the Chinese regulatory structure surrounding cryptocurrency.
LedgerX has likewise had an anxious month – but for different reasons – as we work to finalize our impending launch. As any startup employee will attest, there are a million things to do before a product goes live. Alongside all those same concerns, LedgerX has the additional task of working with regulators to ensure that each contract we list complies with regulations, promotes efficient markets, and protects customers. We’re in the very last stages of this process now and recently submitted final product listings that will let us begin trading in early October.
All startups want to move quickly, and it’s easy to feel frustration with the regulatory process – especially when you’re talking with your peers at Silicon Valley companies that can turn on a dime when business goals shift. LedgerX’s regulators take their role very seriously, and they’ve certainly put us through the wringer during more than three years of discussions and applications.
But at the macro level – comparing the certainty provided by the CFTC framework to the predictable chaos of Chinese regulation – we’re grateful to operate in a country where there’s a path to do things the “right way.” It takes much, much longer and requires the sort of unglamorous work that many startups avoid, but we believe all that work is about to permanently improve cryptocurrency markets and open up an entire asset class to a new tier of participants. We can’t wait to find out if we’re right.