Although it at times looks nebulous and complicated, future cryptocurrency regulation will benefit the market at large, said Vince Molinari, CEO of Templum Markets, at TheStreet's investor boot camp this month.

"It's early innings," said Molinari, "and it's an evolution."

The evolution of cryptocurrency market monitoring could include a number of players, depending on how one classifies the likes of bitcoin, litecoin and ethereum. Relevant parties include the Securities and Exchange Commission (SEC), the Commodity Futures Trading Commission (CFTC) and even the Internal Revenue Service (IRS), Molinari said. But regardless of who does the regulating, it will likely breed further market health.

"That's going to continue to open up the pathways for larger institutional players to come into the marketplace, particularly as we get custody clearance settlement down," Molinari said.

"It may slow some things down in the near-term, and maybe that's healthy to take a little froth out of the marketplace," Molinari said. "But I think it's really, really important and powerful for the long-term sustainability of tokens, particularly digital assets and securities."

More from Video

60 Seconds: What is the Yield Curve and Why is Everyone Talking About It?

60 Seconds: What is the Yield Curve and Why is Everyone Talking About It?

To Think a Trade War's Still Just a Threat Is the Dumbest Thing on Wall Street

To Think a Trade War's Still Just a Threat Is the Dumbest Thing on Wall Street

Millennials Love Investing in Timeshares: Bluegreen Vacations CEO

Millennials Love Investing in Timeshares: Bluegreen Vacations CEO

60 Seconds: What's the Difference Between an ETF and a Mutual Fund?

60 Seconds: What's the Difference Between an ETF and a Mutual Fund?

Amazon's One-Year Anniversary of Buying Whole Foods: A Whole Lot of Silly Hype

Amazon's One-Year Anniversary of Buying Whole Foods: A Whole Lot of Silly Hype