The legislative process to regulate Bitcoin and crypto money markets in the USA continues at full speed. The anticipated bill passed the US House of Representatives! What awaits the US Bitcoin and cryptocurrency markets next?
The anticipated Bitcoin bill passed the US House of Representatives!
The name of the law passed by the House of Representatives : Eliminate Barriers to Innovation Act of 2021. So “Remove Innovation Barriers Act of 2021”. Before we go into the details of this law, let’s take a look at some concepts.
There are two top-level offices in the United States that oversee and regulate financial markets.. These; US Securities and Exchange Commission (SEC) and US Commodity Futures Trading Commission (CFTC). Since Bitcoin and cryptocurrencies are quite new assets, there may be confusion between the duties of the SEC and the CFTC.
- Whatever happens will happen from May 3 to June 17!
The basis of the above-mentioned main confusion lies in the uncertainties in the definition of Bitcoin and cryptocurrencies.. If Bitcoin and cryptocurrencies are securities, these assets fall under the SEC’s mandate. Investment firms need to obtain the necessary permits and licenses from the SEC for Bitcoin ETFs (Bitcoin Exchange Traded Fund).
If Bitcoin and cryptocurrencies are commodities, this time Bitcoin and crypto monies fall under the CFTC’s jurisdiction. For a cryptocurrency to be listed on the Chicago Commodity Exchange, it must obtain the necessary permits and licenses from the CFTC.
Bitcoin is listed as a commodity on the Chicago Commodity Exchange. But so far, no investment firm has obtained the necessary permits and licenses for Bitcoin ETFs from the SEC.. If necessary permissions were obtained, Bitcoin ETFs would be listed on the New York Stock Exchange or the Nasdaq.
US legislation has passed the bill titled Eliminate Barriers to Innovation Act of 2021 to avoid this turmoil. passed the House of Representatives. Both Republican senators and Democrats voted yes to the bill.
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According to the law An independent “Action Force” will be created to appoint members from the SEC and CFTC. Members from the private sector, universities and other government institutions can also take part in the Action Force.. Action Force; He will prepare a report on innovative fields, especially Bitcoin and cryptocurrencies.. The prepared report will be presented to the Biden Administration as a recommendation.. President Biden will make the final decision.
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