Wall Street vet explains the Bitcoin trading improvements regulators are ignoring

Dave Weisberger is a Wall Street vet who saw market structure develop and go electronic. On this episode of The Scoop, the co-founder and CEO of CoinRoutes joined host Frank Chaparro for a walk-through on how far trading in crypto has evolved and why regulators are ignoring these improvements.

He remarked:

“Firms that are domiciled and regulated out of the United States are at such a massive disadvantage in the growing digital asset world to the point where, as a startup, we had to make a choice to become software only.”

Weisberger views the slow regulatory work by the SEC as being harmful to investors, which among factors, is causing exchanges and custodians to put fees and premiums on crypto in order for investors to enter the market.

But as the market grows and becomes more differentiated from traditional markets, the crypto “market is getting more efficient," Weisberger said.

While the current sentiment sees larger players continuing to find themselves subject to arbitrage fees and the headaches of legal battles, Weisberger believes it won’t last forever:

"The settlement costs and the financing costs of doing certain esoteric strategies will ultimately go down dramatically as DeFi finds its sea legs and matures. We're nowhere near that point yet, but the application of that technology is going to be profound as it grows."

During this episode, Weisberger and Chaparro also discuss:

• Regulatory risks in the US
• Rich valuations in private crypto markets
• Outweigh benefits to firms headquartered overseas
• The completion of CoinRoutes’ Series B round of funding

Episode 48 of Season 3 of The Scoop was recorded remotely with The Block’s Frank Chaparro and Dave Weisberger, Co-founder & CEO of CoinRoutes.

This is the first edition of The Scoop’s policy focused series, Policy Scoop.

Listen below, and subscribe to The Scoop on Apple, Spotify, Google Podcasts, Stitcher or wherever you listen to podcasts. Email feedback and revision requests to podcast@theblockcrypto.com.

This episode is brought to you by our sponsors Eventus, Kraken, and Exodus

Eventus is the leading global provider of multi-asset class trade surveillance, transaction monitoring and market risk solutions. Eventus offers a powerful, award-winning trade surveillance platform that is easy to deploy, customize and operate. Eventus is proven in the most complex, high-volume and real-time environments and supports many of the industry’s leading crypto exchanges including Coinbase, Gemini, ErisX and OSL. The company’s rapidly growing client base relies on Eventus’ responsive support and product development teams to overcome its most pressing regulatory challenges.

About Kraken

Whether you’re an experienced crypto trader or just starting out, Kraken has the tools to help you achieve financial freedom. With 50+ cryptocurrencies to choose from, industry-leading security and a wide variety of features to suit any investing strategy, Kraken puts the power in your hands to buy, sell and trade digital assets. Visit Kraken.com to get started today.

About Exodus

Exodus is leading the world out of traditional finance by building beautiful and user-friendly crypto products. Forget having to learn the nuances of different cryptocurrencies. Exodus is designed for everyone and hides the complex details behind a beautiful and intuitive interface.

Buy and sell one cryptocurrency for another from the comfort of your wallet, in seconds. Funds remain under your full control.

Secure, manage, stake, and exchange all of your favorite cryptocurrencies from one wallet. No account registration is required. Download Exodus at Exodus.com or directly from Google Play and the iOS App Store and you’re ready to go.