There’s no downplaying how important this is, and it’s ability to bring the crypto markets and the tech behind it to the next level.
Many crypto based companies left the US simply to play it safe, as no one (to this day) can figure out how, and when the SEC decides to enforce regulations. Regulations many think do not legally apply to crypto, as they were written before the internet was invented.
This is a situation I’ve watched closely when we broke the story of the first cryptocurrency laws proposed in 2018. As the process of trying to catch up with the rest of the world began, I also began to examine what went wrong.
In a widely circulated report I published a little over a year ago titled ‘How US Lawmakers BLEW IT – The MULTI-BILLION Dollar Blockchain Industry That Left America.’ I explained how I found myself in Silicon Valley surrounded by new emerging tech innovation – all types of new tech, except crypto.
That’s when I learned things were worse than I knew.
Elderly US lawmakers, confused as to what cryptocurrency even was, saw no need for new laws, the ones written before color TV’s were indented will do just fine.
I summed up the situation writing: “The US is the birthplace of both computers and the internet – yet we’re being forced onto the sidelines of the blockchain/crypto revolution as our tech-illiterate leaders do nothing to keep up with the times, and have left regulators with laws written in the 1940’s to regulate crypto.”
Thankfully, there’s some younger lawmakers working to bring the older ones up to speed, explaining the disadvantage US companies current have.
In a rare moment of clarity and productivity – both US political parties came together and took the first steps towards putting the country on a pro-innovation path when it comes to cryptocurrency.
Part of 6 bipartisan financial services bills the US House passed this week.
Most relevant to us is fixing what type of asset a cryptocurrency is. Currently considered a ‘security’ like stocks, this bill requires the SEC (which oversees securities) to team up with the CFTC (which oversees commodities).like gold. Most believe owning crypto is closer to owning gold than it is to owning a stock.
Both agencies have been instructed to spend the next year communicating with each other, as well as private businesses,.
But perhaps most importantly is they have also been ordered to examine how countries like Switzerland passed regulations that allow for both free trade of crypto and prosecution of fraud, all while attracting hundreds of blockchain companies to the Swiss ‘crypto valley’ business distract.
But it will only succeed if…
This process is done with honesty in mind at all times, even if the truth highlights past failures – we need to be honest about what needs to be fixed, or they won’t be fixed at all.
That means being honest about failures that got us here, and being able to honestly credit countries that got it right – because the right move is to copy them.
Now that there’s a real chance we see more in the near future beyond investment potential. The US may soon, have a real blockchain/and crypto industry right here in the states – long overdue, but better than never.