Coinbase Europe ex-CEO Zeeshan Feroz favours crypto regulations or why regulating cryptocurrencies will be positive for the sector and tokens have room to grow, according to ex-CEO Coinbase in Europe and new strategic advisor to Spain's Bit2Me.

A whole new generation of investors is putting the focus on cryptocurrencies.

The furor has led many crypto assets to grow at a triple digit rate - more than 1,000% return— in less than a year. And the fever continues.

The growth of cryptocurrencies has brought with it the creation of companies linked to this activity. In the United States, Coinbase is the ultimate expression of this trend, starring one of the most anticipated IPOs of 2021.

But, as in any success story, investors want to clear certain unknowns to gauge the stability of the model in the future. Where is the crypto asset industry headed? Is there any concern that many young investors are putting their money into these tokens? Is your regulation positive?

Coinbase Europe ex-CEO Zeeshan Feroz favours crypto regulations

The source has spoken exclusively with Zeeshan Feroz, former CEO of Coinbase in Europe and new strategic advisor to startup Bit2Me. Feroz shares his vision and explains how his new stage in the Spanish company will be.

On the volatility of the cryptocurrency market, Feroz believes it is important to think about where it comes from and whether those conditions can persist to convince investors again

"You have companies like Tesla or MicroStrategy, which are investing part of their treasury in cryptocurrencies, or companies like Coinbase, which has starred in a historic IPO, so there is a lot of momentum in the sector at the moment,” he analyzes.

There are many different developments happening in the crypto asset industry and from your point of view that trend will continue and drive the market forward: “My focus on cryptocurrencies has always been on long-term construction... Is there a good evolution? I think the market will continue to grow; there is still a lot of interest and I am excited about what the second half of the year will bring.”

For the current strategic advisor of Bit2Me, the adoption of digital currencies (such as bitcoin) as a means of payment can be an important catalyst on which to forge the growth of tokens in the long term.

Coinbase Europe ex-CEO Zeeshan Feroz favours crypto regulations

"The use of cryptocurrencies as a means of payment could grow more and, in fact, in the future we will be able to see digital currencies backed by central banks or even other assets that support monetary institutions,” he says.

Companies are now allocating a percentage of their treasury to cryptocurrencies. Therefore, consider that what is glimpsed is the beginning of this transition where different types of financial services are changing their tools.

"Whether it's payments or a store of value for your treasury, there will be more and more companies getting on the cryptocurrency boat,” Feroz says.

However, if there is one factor that has clouded the ecosystem recently it has been regulation.

Can its effects be negative in the future? According to Feroz, the answer is no.

Coinbase Europe ex-CEO Zeeshan Feroz favours crypto regulations

"Regulation is 100% positive as long as it is balanced because, if you think about it, cryptocurrencies are like money... As a customer, would you keep your money in a company that has no regulated license? No, right? Similarly, in the cryptocurrency space, having regulated businesses inspires confidence, encourages people, makes people feel safe, " he said.

In his opinion, “good, balanced regulation will be incredibly positive for the crypto-assets sector; what we don't want is extreme regulation or technical innovation.” And he adds: “But, so far, everything that regulators say in Europe, the EU, the European Single Market Authority or the EPA, goes in the same direction and they are very balanced,” Feroz adds.

In 2021, millennials and Generation Z have launched into the crypto asset segment.

According to Feroz, it is because they are more comfortable with the concept of digital money: “They have never been attached to physical money like previous generations, so it is also a really positive indicator that the next generation of investors is buying these assets.”

The question is not whether cryptocurrencies are going to become widespread but when. ” The fact that they use and interact with them makes people feel comfortable, which means that, in the future, adoptions will increase, " he says.

Coinbase Europe ex-CEO Zeeshan Feroz favours crypto regulations and individual education importance

For this, individual financial education is important “”The way someone invests their money is a very personal decision that is based on their own circumstances and personal goals in terms of return; that's why I think education is always a good thing."

He notes that " anyone who wants to get into the cryptocurrency environment should learn about what they are doing and the risks they are taking. As happens when investing in shares of companies like Tesla, if you think that electric cars are the future and believe in the company and the product, you invest with a philosophy (...) With cryptocurrencies it is the same, because you have to try to understand what you invest in, know what the long-term objectives are and then make a decision,” he recommends.

Feroz has extensive experience in the crypto assets sector. He left Coinbase last year after 4 years with the company. His decision, he says, was motivated by the enormous size of the company and his desire to work again in a startup.

Coinbase Europe ex-CEO Zeeshan Feroz favours crypto regulations in Bit2Me

That's where Bit2Me entered the scene, a Spanish firm that is progressively gaining a foothold in the cryptocurrency sector.

” I wanted to go back to working with a promising startup that had that potential... Basically, I missed working in a small company, which is much more agile and where there is a lot of energy from being in the initial stage, " Feroz explains.

The biggest challenge now for Bit2Me is to create a strategy that can then be replicated in other markets: “To achieve this, you first have to figure out what the formula for success is."

That is precisely where he will try to add value: “I will work closely to try to see how to make the company successful in the rest of the EU, in Latin America and beyond,” he concludes.