US Senator Cynthia Loomis, a member of the US Senate Banking Committee and one of only two senators to have bitcoin in her investment portfolio, is planning to introduce a bill that would drastically change the legislative and regulatory landscape for cryptocurrencies. The bill aims to cover a variety of regulatory hurdles including consumer protection, stablecoin regulation, and the creation of a new organization to oversee the digital asset market under the joint jurisdiction of the Commodity Futures Trading Commission (CFTC) and Securities and Exchange Board of India. . Exchange Commission (SEC).
according to a report of bloombergThe bill will create a new regulatory body to handle crypto matters. The bill will also reportedly establish how different types of crypto assets are classified for regulatory purposes, codify crypto taxation rules, outline rules for stablecoin providers, and include consumer protections. Is.
US Senator Loomis, an outspoken Bitcoin The advocate is optimistic that it will eventually reach an agreement on a legal framework for digital assets that solves many long-standing problems, including “regulatory jurisdiction, market integrity, self-regulatory organizations and stablecoins.”
His support for the crypto industry inspired him to write a recent op-ed Congress for the New York Times called on the nominations of Jerome Powell and Lyle Brainard to block nominations to the Federal Reserve over “political approaches to digital assets” in their home state, which has passed several crypto-friendly laws.
Crypto regulations are at a crossroads in the US, with industry, Congress and regulators all saying the industry needs to be regulated, but no one agrees on how or by whom. US SEC President Gary Gensler has sought to strengthen oversight of the crypto markets under his agency; He points to the fact that many assets listed on crypto exchanges are likely to be classified as securities – tradable financial instruments such as stocks and bonds. Meanwhile, CFTC chairman Rostin Behnum has insisted his agency, which traditionally oversees derivatives products such as bitcoin futures, be granted more jurisdiction.
The SEC has, in the past, debated whether cryptocurrency Securities have been around for a long time and have determined that bitcoin is not a security, but the CFTC views bitcoin as a digital commodity. On the other hand, the IRS considers bitcoin and other digital currencies to be assets.
Companies attempting to operate under the current regulatory framework face hurdles because of this inconsistent behavior. In his recent testimony before the US Congress, the crypto CEO often emphasized the lack of a clear regulatory framework for trading.
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