Introduction and Rationale The introduction of cryptocurrencies into the global financial system has led to the growth of a new sector of finance known as FinTech. 1 It is largely characterised by technological innovation, which is redefining the nature and structure of traditional areas of finance. The development of cryptocurrencies has emerged from this trend. It is defined by unique characteristics, such as the decentralisation of financial functions, anonymity of the players involved, and privacy in financial transactions. Stemming from the implications of these characteristics for the financial sector, regulation has been proposed as a tool for streamlining FinTech. 2 This proposal explains why several governments (locally and internationally) are reviewing cryptocurrencies with a special emphasis on finding the appropriate type of legal framework to adopt. This push is partly informed by the fact that cryptocurrencies offer an alternative to conventional banking. Additionally, they significantly change the way vendors and buyers make payments. FinTech regulation is a relatively unexplored area of research because it offers a new way of financial modelling. The legality of the process is also under review because cryptocurrencies outline a decentralised model that operates outside of the conventional judicial framework. Therefore, the need to explore legal issues pertaining to cryptocurrencies emanated from the failure of different countries to account for the threats that cryptocurrencies introduce to the global financial system. For example, although money laundering is a comprehensively explored area of research and a threat to the conventional financial system, it is not explored in a similar manner in FinTech. This research argues that attempts to regulate cryptocurrencies are misguided because those advocating for the same do not understand the technology that underpins this area of financial revolution. Key pieces of evidence that support this position are derived from the decentralised nature of cryptocurrencies, the borderless nature of their transactions, the lack of an issuing authority for digital currencies, and the lack of a clear set of actors in the virtual market. Although counterarguments are discussed, this study largely demonstrates that different forms of regulation (as currently proposed) do not take into consideration the above-mentioned factors and fail to recognise the complex technology that underpins FinTech. This research is guided by two research questions highlighted below. Research Questions  1. Which opportunities provided by cryptocurrencies are relevant for regulatory bodies?  2. What are the threats and barriers to the regulation of cryptocurrencies based on their inherent characteristics? Review of the Literature Research Methodology This paper is the product of a desk research of secondary research materials investigating the merits and demerits of regulation in FinTech. The secondary research materials reviewed were mainly in the form of scholarly texts and legal documents. Research Findings Introduction to Cryptocurrencies and FinTech Cryptocurrencies and FinTech are new areas of financial innovation. They are distinguished by their unique features, which make them stand out from traditional instruments of finance. The lack of a common authority is one of the main design features of cryptocurrencies, which distinguish it from fiat currencies. 3 Bitcoin is the most popular cryptocurrency. It was