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Rackedup
The U.S. government is doing something similar to the boiling frog trick... (one law after another to make crypto less useful)
seydor
The US is only country which sees the threats to the dollar's dominance as existential threats. If the US decouples itself from crypto, the whole rest of the world will see it as a potential replacement for everything they want to decouple from the dollar. With russia effectively already removed from the world system, btc becomes a viable alternative, with the bonus point that americans will have legally shut themselves out of it, and thus unable to manipulate its price
lern_too_spel
Every developed country has banking laws. When those laws are applied to cryptocurrencies, all their current "advantages" disappear, and all that is left are disadvantages. This is coming everywhere, but countries that have the most resources to invest in figuring out how to regulate will do it first, and all the rest will just copy the regulations.
manishsharan
Not entirely true. Open ledger, Ethereum contracts etc. could have banking applications. We just haven't figured out what. And this whole field of crypto is festering with "crypto bros" and their pyramid schemes.

Applications that I could think of are loan syndication platform, collateral valuation ,auto adjudication etc. Note: I have no direct exposure to crypto and I working in banking (IT not business side)

lern_too_spel
All of those services can be done better without a permissionless distributed ledger. Use a traditional centralized database, and you can process transactions faster, iterate your product faster, and adapt to regulations faster.
manishsharan
The key word is "centralized database". This requires a trusted middleman to facilitate the syndication and manage the lifecycle of the contract.

Blockchain could facilitate financial contract between parties without an intermediary.

lern_too_spel
The intermediary is the blockchain, which is more expensive and slower than the trusted centralized database.
leashless
In the US. In the UK, a civilised detent is emerging, most recently a 550 page document from the Law Commission proposing common law approaches to dealing with digital assets as property.

https://www.lawcom.gov.uk/project/digital-assets/

There's a whole new thing happening over here.