Decisive strides are being taken towards regulatory clarity for cryptocurrencies in the United States. The House Financial Services Committee has approved a bipartisan bill named the Financial Innovation and Technology for the 21st Century Act, in a 35-15 vote. This noteworthy move was supported by democrats such as Jim Himes of Connecticut and Ritchie Torres of New York, indicating the widespread backing this bill is receiving.
The Act, the first of its kind being passed by a committee, will outline explicit rules stipulating whether crypto firms must register with the Commodity Futures Trading Commission (CFTC) or the Securities and Exchange Commission (SEC). Furthermore, it also aims to define if a cryptocurrency is a security or a commodity, thereby broadening the CFTC’s control over the crypto industry. The legislation also perceived sheer acclaim from Rep. Patrick McHenry who underscored its role in preventing the United States from “falling behind” in cryptocurrency regulation.
Heedless of its merits and support, some legislators have adopted a contrary stance, refusing to endorse the bill, including Representative Maxine Waters. Waters proclaimed that the bill amplifies confusion and provides less protection to an investor. Her rebuttal springs from the notion that the bill tends to favour the requests of the cryptocurrency industry, neglecting the counsel of the administration, the SEC, as well as consumer and investor advocates at large.
Simultaneously, another congruous legislation, the Blockchain Regulatory Certainty Act was passed by the key Committee spearheaded by Republican Congressman Tom Emmer and Democratic Congressman Darren Soto. This Act seeks to deliver clarity for “blockchain developers and service providers”, including miners and multisignature service providers. Emmer acclaimed the Act’s passage as a “huge win”, acknowledging it as a progressive step towards directing the future of the peer-to-peer digital economy.
In conclusion, while the ground-breaking bills present a promising avenue towards more explicit regulations for crypto firms and blockchain developers, the fundamental dichotomy lies in the perception of this advancement. On one hand, it beholds the opportunity to put Americans at the forefront of the evolving digital economy; on the other, it brews scepticism regarding investor protection and overall clarity, highlighting a crucial aspect that needs to be taken into consideration.
Source: Cryptonews
