US Congress greenlights a bill on cryptocurrency regulation for the first time. If this bill becomes law, a working group will be established to address regulatory uncertainty in the crypto space.. The name of the bill is also noteworthy: the Act to Remove Barriers to Innovation.
US Congress gave the green light to crypto money regulations
US Representatives Congress has passed bill that would set up a digital asset working group to help guide the Commodity Futures Trading Commission (CFTC) and the Securities and Exchange Commission (SEC) in drafting new regulatory frameworks for both digital assets and cryptocurrencies.
“H.R.. 1602” or the “Removing Barriers to Innovation Act of 2021” was approved by the US Congress last week and forwarded to the US Senate.. Now, it is being examined by the Senate Banking Commission, headed by Senators Sherrod Brown and Pat Toomey.
After being passed and enacted, a commission will be established according to this bill.. This commission will carry out the work to evaluate the regulations regarding digital assets and cryptocurrencies in the USA.
Related – 200 crypto exchanges are in danger of being shut down
This event, It marks an important development from the Congressional approval of bills related to cryptocurrencies.. It will ultimately affect the status of all digital assets, including cryptocurrencies.. This bill will help work to bring clarity to regulatory uncertainties about the status of cryptocurrencies.. The stance of the government on the central bank digital currency (CBDC) will also become clear.
The “Removing Barriers to Innovation Act of 2021” was introduced in March by Representatives Patrick McHenry (Republican National Committee) and Stephen Lynch (Massachusetts District).. So far, other bills have been submitted to Congress regarding the regulatory framework of cryptocurrencies.. But for the first time “H.R.. 1602” was the bill approved by the Senate.
The Digital Chamber of Commerce Chief Policy Officer Amy Davine Kim says that for the first time, parliament has given the green light to a bill that will clarify regulations on the state of digital assets and cryptocurrencies.
<
The bill envisages the establishment of a working group between the SEC and the CFTC that will be tasked with establishing a joint working group. This working group also includes fintech firms, financial firms, academic institutions with research qualifications in digital assets and cryptographic science, small and medium-sized enterprises that leverage fintech, investor protection groups, and commercial or non-profit organizations that have worked to support underserved businesses in the past.
Given the global nature of the crypto industry, the working group will be tasked with drafting policy recommendations to improve the current regulatory environment in the United States and extending these policies to international relations.
Source