EXCLUSIVE: Cryptos need regulation to be adopted by ‘the masses’ – Payger

By Andrei Skvarsky.

As regulators gradually take control of cryptocurrencies, the global crypto community is abandoning its initial attitude that being outside governmental regulation is an advantage of digital money.

“Regulation is necessary to provide legal clarity and security for users and businesses which are essential to build trust in cryptocurrencies,” said Christoph Hering, founder and CEO of Munich-headquartered cryptocurrency exchange and payment service Payger.

“Without clear regulatory guidelines by local governments, neither users nor businesses will adopt cryptos as their daily currencies for payments. Therefore, clear regulatory frameworks are an essential part of the progress of establishing cryptocurrencies for the masses,” Hering told EmergingMarkets.me in an email.

Various financiers speak about crypto market problems that can hardly be solved without regulation.

One of them is the extreme volatility of virtual money. The price of bitcoin, which is one of the least volatile cryptos, has plummeted to a little over $4,100 from nearly $16,500 over the past year.

Daniel Wolfe, co-founder of London-based investment group Spring, has said that 90 per cent of the world’s about 1,600 cryptocurrencies are “rubbish”.

If one bought some cryptos, he suggested at a meeting in Moscow this September, one should stow them away for about five years for by then it might be clearer where one stood.

Initial coin offerings (ICOs) are another problem. According to a study by US advisory firm Satis Group, 80 per cent of ICOs carried out in 2017 were scams.

Payger is a company set up in March 2018. The firm says 63 cryptocurrencies can be traded, transferred and managed via its blockchain-based platform.

The company possesses trading facilities that include a browser wallet, e-commerce plugins and a payment application program interface (API) for developers.

Payger plans to launch a mobile app in 2019.

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