Regulation Cannot Solve Institutional Settlement Gap, Says Lynq CEO

Lynq CEO Jerald David attended an Aug. 19 White House meeting focused on institutional settlement, warning that regulation alone cannot solve the problem.

The issue lies in the operational layer beneath the legal framework, where funding and settlement systems do not always follow the hours kept by crypto markets.

Crypto exchanges commonly remain open 24/7, while banking and securities systems rely on business-day schedules and separate settlement processes.

This mismatch can leave institutions unable to access cash or collateral immediately after completing a trade, forcing them to keep funds at multiple venues, increasing exposure to individual counterparties, and leaving capital unused.