# 1.5. Regulation In the early years after the inception of cryptocurrencies there were absolutely no regulations at all, it was basically the wild west. Due to their decentralized and often anonymous nature, legislators all over the world are still facing the complicated challenge of regulating a space, that was designed to be beyond the reach of centralized government authorities. Nevertheless, these regulatory efforts have been intensified in recent times. Regulation is necessary and helpful; clamping down on all sorts of shady criminal activities will help the ecosystem mature and encourage new investments. Especially big institutional investors will be prompted to finally enter the cryptocurrency markets when the regulatory landscape is shaping up ## A World of Cryptocurrencies

Illustration 2: World of Cryptocurrencies; Source:https://blogs.thomsonreuters.com/answerson/wp-content/uploads/sites/3/2017/10/World-of Cryptocurrencies-graphic.pdf (January 2018)

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