The USA is preparing a bill regarding cryptocurrencies
The cryptocurrencies is currently going through quite difficult times. Popular coin rates are falling more and more. Fraud is becoming more common. But cryptocurrency is still attractive to investors. Many breakthrough projects continue to attract huge investments. Lack of taxation and anonymity of transfers scare the governments of large countries. The USA is no exception. That is why the leading powers strive in every way to limit and “award” cryptocurrency with a separate legal status. Today we will talk about the future of digital money.
What is the news?
Today, a member of the US Congress raised the issue of the legal definition of cryptocurrencies. Arizona Republican, Paul Sogar, is concerned about the lack of a clear state status for digital currencies. The politician introduced a bill called the “Cryptocurrency Act of 2020”. So a document can only come into force next year. However, the US is serious about cryptocurrencies. During the bill, it will be found out which federal agencies will begin to regulate digital coins.
The idea is to divide the crypto industry into three relatively equal parts. If the project is accepted, terms such as “crypto products”, “cryptocurrencies” and “crypto-securities” will appear. An appropriate regulatory body will be appointed for each of the categories presented. The tasks of government agencies, based on the bill, are to notify a wide audience of any projects requiring licensing.
- CTFC (Commodity Futures Trading Commission). Should deal with cryptocurrency;
- The Securities and Exchange Commission (SEC). Will be responsible for crypto securities;
- Well, crypto products are the responsibility of the Financial Crimes Enforcement Network (FinCEN);
How are cryptocurrencies classified?
Three new categories definitely need detailed analysis. Crypto-securities are now considered “economic goods or services”. Cryptocurrency is a direct analogue of the US currency or “synthetically derived currency on the Blockchain”. Crypto products – debt, equity and derivatives on the Blockchain.
How will the bill affect сryptocurrencies?
Many leading states have long figured out the definition of cryptocurrency. Some countries are actively integrating Blockchain technology into their own ecosystems. However, individual states refuse to work with cryptocurrencies and literally prohibit Blockchain. The US is doing a little wiser. By creating a specific legal status for digital assets, the country is able to effectively manage cryptocurrency. That is, now the government can use all the benefits of Blockchain at the official level. But if necessary, able to block the entire technology. Most likely, other countries that have not yet figured out cryptocurrencies will be inspired by the experiences of the United States. Cryptocurrency goes out into the wide world. They talk about it and reckon with it.
We can only follow the development of events. Read about all the news of the crypto industry on our website, because we publish only high-quality and interesting material. Thanks for attention. Good luck!