"Whether cryptoassets are reasonable investments, or not, may still be a justified question, but it also misses the bigger picture," says Alex Cravero, regional head of Herbert Smith Freehills' emerging technology group.
Cravero was speaking at a conference exploring the regulatory risks faced by investors and the extent to which current legal frameworks are equipped to handle the digital transformation of finance. He was joined by Marina Reason, partner in Herbert Smith Freehills' financial services regulation practice, who added:
"As cryptoassets and the technology they run on continue their journey into the mainstream, the spotlight shining on them will burn ever brighter as regulators grapple with the conflicting aims of balancing innovation with consumer protection.
"Yet, counter-intuitively for an asset class born of libertarian ideals, the looming reality of tougher regulation looks to be one of the strongest reasons for believing cryptoassets can be credibly ushered towards somewhere approaching the investment establishment."
Called 'The Digitisation of Finance', hosted by the British Swiss Chamber of Commerce and supported by both the All Party Parliamentary Group on Crypto and Digital Assets, UBS and Herbert Smith Freehills.