To begin with: I’m quite fond of the Crazy West environment through which we currently operate – the excitement and uncertainty are unparalleled by a night time at the casino, aside from the current debt and equity markets.
And while the current environment is wrought with misinformation, pump-and-dump traders and scam gold coins, at the same time, it’s bursting at the seams with innovation, relationships with blue-chip corporations and thought leaders of the modern era. Locating a treasure after sifting through so much garbage is exhilarating.
If there’s one thing I’ve learned in life, however, it’s that change is inevitable, but not always bad.
Anytime we are to achieve the global recognition and acceptance we desire, this exuberance must be tamed, and regulation must be put in place.
There are serious issues with just how crypto asset news and research are disseminated.
I’ll give attention to the market effect of a certain group (which My spouse and i won’t name). Look at the ZenCash chart below from immediately before and after this publication suggested ZenCash in October.
Since soon as this syndication announced its recommendation of ZenCash, the price improved greatly from roughly $10 to about $25. Did something fundamentally change about ZenCash that warranted such a dramatic spike in value? I do think not.
Sure, ZenCash may well be a great investment; however, that isn’t the point. Did the staff of the publication load up on ZenCash just before the announcement? Did they proceed to dump their investment on blind fans? Without identity, regulation and disclosure requirements, you will not answer these questions.
Imagine if it were legal for equity research analysts to short stocks and shares just before publishing a sell recommendation for a major investment bank, or if financial advisors could purchase a stock just before recommending it to their clients. Given that the aforementioned publication has a cult-like following, there is not stop them from loading up on their “coin of the month” just before the announcement, and regardless of which coin they recommend, the next they’ve garnered will create a self-fulfilling prediction.
What we require is unbiased, legitimate research printed by intelligent, well-versed experts who care solely about informing the community, and not about making a quick buck. The reality is that unbiased research is difficult without a third-party to regulate it.
As much as I’d like to trust those I’ve fulfilled in telegram channels, they’re also experts at Photoshop, FUD (fear, uncertainty and doubt) and amplifying false news. When i imagine decentralization and trustless companies will displace many central institutions, unbiased studies impossible without regulators’ help.