A survey conducted by the U.S. law firm Foley & Lardner LLP indicates that investors and executives favor Ethereum over Bitcoin and other leading coins like Monero, Dash, and Zcash. Additionally, there is also a demand for more regulations in the crypto market.
Conducted by more than 60 professionals, who are mainly investors or business executives, the survey included a list of questions regarding regulations, investments, initial coin offerings (ICOs), the likelihood a crash, and market capitalization, offering crucial statistics that enthusiasts should consider in the coming year.
According to the survey, the majority of the respondents expect an industry that is more under control of the U.S, as there is an inefficiency of how to apply the current financial rules and regulations to the digital asset market at the moment.
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Regarding the top coins, 43% of the participants suppose that Bitcoin has the greatest likehood for point of sale (POS) purchase, but only 35% believe that it is the best investment opportunity. In fact, it is beat out by Ethereum at 38%.
With regards to ICOs, 84% of those who were surveyed by Foley & Lardner believe that the fundraising method needs an adjustment. At the same time, 86% of the participants responded that it is necessary for the crypto industry to establish global regulatory standards.
Other risks that the crypto industry has to face are also presented in the findings. Hacks and security violations, for instance, are the most urging threats to the viability and growth of the ecosystem. There are 71% of respondents pointed out that theft of cryptos is a strong or very strong risk.
Concerning the future, 41% of those who were asked said they thought the market crash would appear in the next 12 months. Meanwhile, 29% believe that this scenery will happen in the next two to five years. It indicated that in attempts to take advantage of the volatility in the market, roughly 60% of the respondents, who are primarily executives and investors, are willing to take risks in order to obtain gains.
Allison Charney, partner and member of Foley & Lardner’s Blockchain Task Force, commented on the survey:
“The U.S. has long-standing anti-fraud laws that apply to cryptocurrencies, but there are potential gaps and shortcomings in this developing area. While worries about fraud aren’t necessarily surprising, they do provide another sign that industry insiders view regulation on the whole as a good thing.”
Another point of interest is that the participants anticipate that another digital currency like Ethereum is likely going to surpass Bitcoin’s market capitalization at some point. A combined 45% said that they believe it is “possible” but it’s too early to tell when. Meanwhile, 5% said that it will happen within one year, 14% said that it will happen within 1 to 2 years, 18% said that it will happen within 2 to 5 years, 5% that it will happen in more than 5 years, and 11% said that it will never happen.