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Regulatory Schism

Definition

A regulatory schism in the digital asset space refers to a significant divergence or conflict in the legal and oversight approaches taken by different jurisdictions or regulatory bodies concerning cryptocurrencies and blockchain technology. This creates an inconsistent global landscape, where an activity deemed permissible in one region might be prohibited or heavily restricted elsewhere. Such a divergence leads to regulatory arbitrage and operational complexities for businesses operating internationally. It presents a considerable challenge for global industry standardization.