Definition ∞ Policy consultation is a formal process where governments or regulatory bodies seek input and feedback from stakeholders on proposed laws or regulations. This involves inviting public comments, conducting hearings, and engaging with industry experts. In the digital asset space, policy consultation aims to gather diverse perspectives on complex issues before finalizing regulatory frameworks. It helps ensure that new rules are well-informed and practical.
Context ∞ Policy consultation is a recurring theme in crypto news as jurisdictions worldwide work to establish clear regulations for digital assets. Industry participants, legal experts, and consumer advocates actively contribute to these discussions. The outcomes of policy consultations significantly influence the future direction of digital asset markets and innovation. Transparency in this process is often advocated to foster trust and effective regulatory development.
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