'Huge Triumph' for US Cryptocurrency As Crypto Legislation Clear Congressional Committee

The United States House Financial Services Committee has approved two crypto regulatory proposals, which may finally bring about much-needed regulatory certainty.

Source: www.weforum.org

Two proposals that might finally provide some legal clarity to cryptocurrency businesses have been passed by a significant US House subcommittee. The legislation also explains the distinctions in authority between the US securities and commodities authorities. The Financial Technology and Innovation for the 21st Century Act and the Blockchain Regulatory Certainty Act were approved by a large majority of US senators on July 26. The Financial Innovation and Technology for the 21st Century Act, which would establish guidelines for cryptocurrency firms on if they must file with both the Commodity Futures Trading Commission (CFTC) or the Securities and Exchange Commission (SEC), was approved by the House Financial Services Committee in a vote of 35-15.

The Republican plan also specifies a procedure through which businesses may inform the SEC that their projects are sufficiently decentralized, enabling companies to register their digital assets as a digital asset with the CFTC. French Hill, a Republican congressman and vice president of the House Financial Services Committee, expressed his pride that the legislation had cleared its first obstacle and received unanimous approval from the committee.

The Blockchain Regulatory Certainty Act, a bipartisan initiative spearheaded by Republican Congressman Tom Emmer and Democratic Congressman Darren Soto, intends to establish rules that eliminate restrictions for blockchain innovators and platform providers, including platforms for decentralized finance (DeFi), multi-signature providers of services, and miners. The Blockchain Regulatory Trust Act's passage was hailed by Republican Representative Tom Emmer as a huge success for the United States.

Digital Property Laws May Determine The Future of US Cryptocurrencies

Even though these pieces of legislation were passed, several Republicans and Democrats objected to a different proposal for legislation known as The Digital Assets Market Structure bill.  Democratic Representative Maxine Waters criticized the measure for paying too much attention to the crypto industry's demands and disobeying SEC regulatory recommendations.

‘As I've said, the fact that cryptocurrency enterprises flout the law does not necessitate the development of new regulatory structures. For 90 years, our securities rules have safeguarded pensioners and investors while promoting capital creation and fostering innovation’, Rep. Waters said.

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