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Chapman Law Review

Abstract

"The rapid rise (and, in some cases, swift fall) of the digital asset economy has been incessantly chronicled in the business and legal press for a decade. 1 From Bitcoin and other cryptocurrencies, to decentralized autonomous entities ('DAOs') and non-fungible tokens ('NFTs'), 2 new asset classes and business models have burst onto the scene, with lawmakers and government regulators struggling to keep up. In some cases, the lack of a legal framework is precisely what 'Web3' proprietors want; but, it should come as no surprise that governments do not view digital assets as exempt from the rules that apply to familiar financial products and transactions. Of course, deciding whether digital assets should be regulated is the easy part for governments—the thorny question is how should they be regulated."

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