There has been a growing interest in crypto assets and blockchain lately. Despite this, some of the earliest innovators in the crypto and blockchain space say the high expectations currently being placed on the industry may not be in line with reality.
One of these early innovators, Tal Elyashiv who is the co-founder of and managing partner of Blockchain venture capital firm SPICE VC, said that the crypto and Blockchain concept was still very much in its infancy while at the Ethereum conference dubbed “ETHDenver” this past weekend.
Tal’s opinions hold a lot of weight with him being connected to Spice VC, which was one of the first to release a crypto security under existing US securities laws, inorder to offer immediate liquidity for its venture fund.
Tal remarked that when it comes to the tokenized securities currently in existence, there is still a lot of work to be done inorder to see them reach full potential. He said;
“We’re going to start to see major pieces of the business infrastructure coming within the next few years … We’ll start to see institutional investors coming in this year,”
Tal Elyashiv’s opinions were seconded by Security token advisory firm, Satis group’s COO Shala Burroughs, digital asset firm Crowd equity Republic’s director Frederick Allen, and CPO of security tokens trading platform, OpenFinance, Thomas Mclnerney.
Tal Elyashiv further spoke on the issue and stated;
“When you talk about a security token, it’s a token representing a security. It’s not just a name. It means not just what the token is but how the whole process is managed … throughout its lifetime,”
Regulatory insanity regarding how these tokens will be issued at scale will persist for “give or take a year” according to Elyashiv, as government officials at the US securities Exchange Commission (SEC) attempt to arrive at a clear distinction between security tokens and other forms of crypto assets such as Bitcoin.
Shala Burroughs warned that until SEC government officials had gained clarity and set a clear distinction, investors must proceed with caution.
She went on to say;
If you’re seeing articles that are reporting this vast ground swell of money into this industry, that’s not really in line with exact reality. It’ll take a few years for us to get there.”
Sentiments by both Elyashiv and Burroughs are in line with the slow but steady development of crypto infrastructure despite the biting crypto winter. Their sentiments do not really pour cold water on people’s enthusiasm in the industry but rather provide a future outlook on the space.
Image from Pexels