Modern Law: Getting a handle on digital assets

A recurring theme on the Modern Law podcast is how the law world is often late to the game, even when a completely disruptive technology has moved well beyond its novelty phase.

A case in point is the current scramble to regulate Big Tech. Whistleblower Frances Haugen's recent testimony could be the tipping point that leads to a genuine expansion in global tech regulation. But it begs the question: "What were we waiting for?"

According to Vancouver lawyer Geoff Costeloe, whose practice focuses on estate planning and digital assets, it's because a lot of the establishment never dreamed Big Tech would ever get that big. And then one day it was.

The challenge now is that regulating Big Tech may prove tricky, given how many people have a stake in their success. It's going to take a lot of political will and a good deal of global cooperation to get it right.

In the meantime, we might want to think more critically about the new hot commodity hitting the mainstream: digital assets. It's becoming clear that decentralized finance and crypto markets are about to undergo an unparalleled boom. This is all making new investment categories accessible, even to retail investors. By one measure, today's DeFi market has a total locked in value across all markets of $94.3 billion US. It's a pretty safe bet that figure will only get bigger.

The bottom line is that the legal sector should be paying closer attention. It isn't just a regulatory issue either. As adoption grows, lawyers will have to come to terms with the fact that their clients increasingly hold digital assets. And they're very different from traditional ones. So they're going to have to get up to speed.

You can stream and download my entire conversation with Geoff.

Transcript