Policy Predictability

Definition ∞ Policy predictability refers to the extent to which future regulatory actions and governmental stances on digital assets can be anticipated by market participants. A high degree of predictability provides clarity and stability for businesses and investors, enabling long-term planning and investment. Conversely, unpredictable policy environments introduce uncertainty and hinder innovation.
Context ∞ The lack of consistent and clear regulatory frameworks in many jurisdictions is a recurring theme in crypto news, directly impacting market sentiment and investment decisions. Efforts by governments to establish policy predictability are closely watched, as they can significantly influence the growth and acceptance of digital assets.