The decentralized voting platform Snapshot will allow clients of digital asset trust bank Anchorage Digital to participate in governance. The San Francisco-based bank said institutional investors have previously indicated an interest in being able to participate in projects’ digital governance. Snapshot voting is a decentralized voting technique that is used primarily in the decentralized finance (DeFi) area to poll users and give them the ability to influence the direction a project takes. By holding the tokens in custody so that their owners may vote on specific amendments, Anchorage hopes to simplify this procedure. The Ethereum DeFi Token dYdX, one of the several Ethereum-based protocols for lending, borrowing, and/or trading without a financial intermediary, has also been introduced by Anchorage Digital. This decision allows for more community involvement in the governance process, which is a significant step forward in the ongoing march toward decentralization.
Investments in unbacked digital assets like bitcoin (BTC) and ether (ETH) should be regulated as gambling, according to the Treasury Committee in the UK. The government is nevertheless continuing with its intentions to control them as financial services. The Treasury Committee is concerned that the government’s plan would have a “halo” effect and mislead consumers into thinking that this activity is safe and protected when in fact it is not. The Treasury Committee believes that consumer trading of cryptocurrencies like bitcoin should be regulated as gambling since it is more like gambling than a financial activity. The value of the cryptocurrency sector as a whole was estimated to be $3 trillion in 2021, but the country’s finance ministry is still in favor of regulating cryptocurrencies as financial services. Crypto supporters disagree with the committee’s recommendation to classify some cryptocurrencies as gambling and argue that currently regulated economies must face and interact with the change of finance in order to create an effective legal framework. The committee also demanded that the government keep up with the advancements of any breakthroughs that could be produced as a result of the technology that underlies cryptographic assets.