Jennifer Campbell is a cryptocurrency entrepreneur. At present, she is the co-founder and CEO of Tagomi, a cryptocurrency trading platform that manages tens of millions of dollars-worth of crypto assets for institutional players. Based in New York, the company is relatively new, having been founded only a year ago, but has already raised nearly half-a-billion in venture funds.
Campbell Knows a Thing or Two About Making Crypto Secure
In a recent interview, Campbell explains the need for new legislation centered on crypto activity. She says that without the proper laws in place, digital assets have no chance of exceeding their present levels or legitimately competing with fiat or precious metals.
One of the most important aspects of regulatory scrutiny surrounding crypto is that it is slated to attract more institutional players, which Campbell comments are the “bread and butter” of the cryptocurrency arena. Institutional players are what will drive the strength of the crypto space, and while more are entering the space now than in 2018, the rate isn’t fast enough to make any significant difference.
She accentuates the need for change in this department, claiming that more players need to enter the space and thus, the regulation they’re seeking is unavoidable if crypto is to ever achieve mainstream status. She comments:
The space needs some legal safe harbors so that entrepreneurs who are well intentioned get some guidelines and reassurance that when they’re trying to do the right thing, they get some protection. In the 1990s, we had laws like the Communications Decency Act and the Digital Millennium Copyright Act, which created safe harbors and really limited the legal liabilities for a lot of entrepreneurs in the internet age. Now, we have very valuable companies like Facebook and Twitter, and it’s very exciting that the U.S. is where a lot of those companies were founded.
In addition, Campbell also took aim at the Securities and Exchange Commission (SEC) for being too slow to act when it comes to cryptocurrency activity. While it has prosecuted some companies that have seemingly tied themselves to illicit maneuvers within the space, the SEC, for the most part, hasn’t done enough to lower the risk that comes with trading crypto.
The SEC Isn’t Doing Enough
One reason for this, according to Campbell, could be because the SEC is used to predominantly monitoring and charging illegal trades that occur through the internet, and this space is still so new to them. She explains:
It clearly did not fit into any traditional legal paradigm or bucket, so it seemed obvious that we needed different laws. Whereas with cryptocurrencies, there are some competing tensions and overlap with securities laws, so it’s not obvious to some people that it should be a completely new category, even though I think it should be. That’s why it might take a little bit longer to come to that conclusion.