Meet Anya, a young Balinese painter who barely scrapes a living by selling her elaborate paintings to visiting tourists. The galleries snatch up the majority of their earnings and online, just like everywhere else, is flooded with inexpensive, mass-produced prints. Then she discovers NFTs. And all of a sudden, she can sell her art directly to collectors around the world, cutting out the gatekeepers and making a much better price. That’s the promise of crypto for Southeast Asian artists – to be liberated from gatekeepers. Jerome Powell’s recent comments concerning the regulation of stablecoins have cast a pall over this budding renaissance.

Digital Dreams Or Regulatory Nightmares?

Powell's call for stablecoin regulation stems from a valid concern: protecting consumers and ensuring financial stability. So yes, stablecoins did move almost $14 trillion last year – more than what Visa moved. That's a force to be reckoned with. Here's the rub: overly restrictive regulations could unintentionally stifle the very innovation that empowers artists like Anya.

Think about it. Most of these Southeast Asian countries have nascent banking sectors. Crypto is an important new lifeline for artists to get paid, find investment capital, and connect to the global economy. Overly stringent stablecoin regulations might limit access to these important tools. This will likely push consumers back into the arms of predatory middlemen. We need to ask ourselves: are we prioritizing abstract financial stability over the concrete economic empowerment of marginalized communities?

Innovation's Canvas Or A Controlled Palette?

The Fed is considering relaxing some banking rules regarding digital assets, and Powell says they aren't trying to prevent banks from serving crypto clients. That’s great to hear, but the devil’s in the details. Let’s hope these relaxed rules are really responsive to the needs of small-scale artists in Southeast Asia, not just big institutions.

This is not to say that regulation cannot be well-intentioned, unnecessary or harmful. Specifically, it would benefit big incumbents, locking out new entrants and deepening existing inequities in who gets heard and seen. Rather, it seems that a handful of the same legacy galleries have cornered the market—again. Unfortunately, this has left Anya and millions of her peers out in the cold.

  • Opportunity: Direct access to global markets, bypassing traditional gatekeepers.
  • Risk: Overly restrictive regulations that stifle innovation and limit access.

The GENIUS Act and the STABLE Act are just two examples of proposals that have been recently floated. Do these acts really address the specific needs and barriers of artists in developing economies? Or are they just interested in putting out the fires lit by Wall Street?

Whose Voice Is Shaping The Future?

Here’s where the “Forgotten Voices” angle is really important. While the global crypto conversation often prioritizes speculative and capital-focused discussions, artists from Southeast Asia offer other perspectives. We hope to help amplify their voices, so that they can be heard in the regulatory process.

As we begin to rethink regulation, we will have to start making sure those regulations encourage innovation rather than kill it. That starts with ensuring a level playing field where artists like Anya can truly thrive, not just scrape by. It is about enabling functions such as smart cities, not entrenching current disparities.

It means that we need to educate the regulators. Crypto custody can absolutely be secure. This is only achievable if regulators and banks understand the entire range of activities at play. It requires education and understanding, or else blanket bans will get enacted killing the ability to innovate.

Now more than ever, it’s important that we support and promote the voices of these rising Southeast Asian artists. Support their work. Learn about the challenges they face. Support policies that center economic justice and racial equity in our fight for economic emancipation.

We can all be artists The future of art is being created right now, in front of our eyes. Each of us holds the key to shaping its course. Let’s ensure that the final work of art truly reflects our shared values and brings inclusivity, empowerment, rejuvenation, opportunity, and prosperity to everyone. Letting Powell’s crypto nod turn into a regulatory chokehold on the dreams of artists like Anya would be a tragedy. Let’s make sure it’s an opportunity for them to thrive, and not just another pipeline into an underbelly of injustice and control. These artists, just like any other, deserve to make a living through their artistry as well as their work. It’s preposterous that onerous relic regulations are enough to risk their very livelihood.

  • Discover and support Southeast Asian artists selling their work as NFTs.
  • Share their stories on social media.
  • Contact your representatives and urge them to consider the needs of emerging artists in developing economies when crafting crypto regulations.

The future of art is being written right now, and we all have a role to play in shaping it. Let's make sure that the final masterpiece is one of inclusivity, empowerment, and opportunity for all. Don't let Powell's crypto nod become a regulatory chokehold on the dreams of artists like Anya. Let’s ensure it’s a chance for them to flourish, not just another avenue for control. The outrage is that these artists are just trying to make a living, expressing themselves creatively, and archaic regulations could destroy that.