The financial regulator of Dubai — a jurisdiction that for years has been maximally loyal to semi-legal and 'gray' technologies — has banned anonymous blockchains.
Banned are:
● #zcash
● #DASH
● #Monero
● and other privacy coins
And here arises a simple, yet unpleasant question.
If even one of the most open and crypto-friendly jurisdictions takes such a step — what will the conservative West, which is used to controlling and regulating everything, do?
Important nuance
There is a high probability that we are currently witnessing classic exit movements.
The logic is simple:
● big players understand that these assets may not survive a full phase of strict regulation;
● while there is still liquidity and attention — they are trying to squeeze the maximum out of them;
● then, when a broad alt season starts, these coins may:
◦ or not participate in the growth at all,
◦ either go into a long, unpleasant correction.
In short, to the point
Privacy coins are currently growing not because they have a bright future ahead.
They are growing because this is the future — very vague.
And this movement could very well turn out to be the last loud chord before a new, already strictly regulated reality of the crypto market.
Keep this in mind.
Especially if you hear stories about how 'XMR is the new ETH'.