US lawmakers are poised to introduce a cryptocurrency bill that could have far-reaching implications for the crypto industry.
US Crypto Bill Expected in the Next Two Months
The House Financial Services Committee’s chairman, Rep. Patrick McHenry, has stated that new crypto legislation will be passed in the next two months. McHenry discussed the legislation at CoinDesk’s Consensus 2023 event and revealed that the bill would address issues that are difficult to fix on either securities or commodities regimes.
The proposed legislation will tackle both securities and commodities regimes and is set to provide regulatory clarity and certainty for the cryptocurrency market.
McHenry noted that President Joe Biden could sign the legislation into law within the next year but warned that creating new policy through legislation is always challenging. Senator Cynthia Lummis, who also spoke at the event, expressed her willingness to coordinate efforts with McHenry to pass the legislation.
The discussions surrounding the new cryptocurrency legislation come after a pair of House hearings on digital currencies, which indicate a will in Congress to create rules for cryptocurrencies, although the question of how to get there remains for debate.
Major Banks’ Collapse Sparks New Push for Crypto Regulation in US
Authorities have been under pressure to establish legislation that offers the sector proper direction and protections as a result of the latest failure of FTX and a few other notable digital asset enterprises.
Two of the US’s most critical financial authorities, the CFTC and the SEC, have started an unrelenting effort against the cryptocurrency market.
These actions by the regulators have left the crypto industry feeling uncertain and vulnerable. They are also making it difficult for crypto companies to do business, as they are now facing increased scrutiny from banks and other financial institutions.
To protect consumers and ensure the long-term viability of the crypto industry, Congress must pass comprehensive legislation that provides clear and consistent regulatory guidance. This legislation should address market manipulation, investor protection, and anti-money laundering issues.
Without clear and consistent regulation, the crypto industry will continue to be at risk of fraud and abuse. This will ultimately harm consumers and stifle innovation.
The US government needs to be faster in regulating cryptocurrencies because they are still a relatively new and evolving technology. However, lawmakers are increasingly pressured to provide more clarity and certainty for investors and businesses as the crypto industry grows.
The legislation regulators are working on is a significant step forward in regulating cryptocurrencies in the US. If passed, it would provide a much-needed framework for the industry and help protect investors and businesses.