This week, Germany’s top regulator urged for global regulation of the cryptocurrency business in order to safeguard consumers, combat money laundering, and maintain financial stability.

The president of Germany‘s financial market regulator BaFin, Mark Branson, stated that a hands-off attitude that would “simply let the business expand as a playground for grownups” was the incorrect strategy.

Hours earlier, US authorities accused Sam Bankman-Fried, creator of cryptocurrency exchange FTX, of misappropriating billions of dollars and breaching campaign rules in what has been described as potentially one of America’s greatest financial frauds.

According to Branson, a “crypto spring” may follow what has been a “crypto winter,” but the industry that emerges will likely have more ties to regular banking, raising the need for regulation.

The industry’s regulation has been patchy and haphazard. Germany requires permits for banks to deal with bitcoin.

The European Union has been working on a new Markets in Crypto Assets Regulation (MiCA), which some, like European Central Bank President Christine Lagarde, believe may need to be enlarged and renamed “MiCA 2” in a future iteration.

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