AUTHOR=Hashimy Loha , Sandner Philipp 

TITLE=The Impact of Financial Regulation on the Development of Distributed Ledger Technology (DLT) Firms

JOURNAL=Frontiers in Blockchain

VOLUME=3

YEAR=2020

URL=https://www.frontiersin.org/journals/blockchain/articles/10.3389/fbloc.2020.00021

DOI=10.3389/fbloc.2020.00021

ISSN=2624-7852

ABSTRACT=<p>There is disagreement in the literature concerning the impact of regulations on firms’ development. While some researchers believe that regulation impedes companies’ development (<xref ref-type="bibr" rid="B8">Jalilian et al., 2007</xref>; <xref ref-type="bibr" rid="B13">Poel et al., 2014</xref>), others argue that regulations enable companies’ development (<xref ref-type="bibr" rid="B11">Mayson et al., 2014</xref>; <xref ref-type="bibr" rid="B12">Peck et al., 2018</xref>). This paper aims to contribute to a better understanding of the impact of financial regulations on development of token-based Distributed Ledger Technology (DLT) firms. In-depth semi-structured open-ended interviews have been conducted with 20 DLT firms in Europe during April and May 2019. Our results show that the impact of financial regulation can be ambiguous as it can both enable and constrain a firm’s development.</p>