- The United States is having several challenges to regulate the crypto market
- This situation is harming the competitiveness of the U.S. in the crypto market
The United States, the most powerful country in the world, seems to be losing its position as the leading country in the cryptocurrency market. This is according to Brian Kelly, a recognized crypto fund manager, that talked with CNCB about the current situation of the market.
Brian Kelly Worried About U.S. Influence On The Crypto Market
Facebook, the largest social media network around the world, announced the creation of a virtual currency called Libra that is expected to help users process transactions in a fast and easy way. However, several U.S. officials and lawyers are worried about the effects that this virtual currency could have on the economy and on the financial world.
Not only the United States but many other regulators around the world are worried about the virtual currency and the risks related to it. This is why there are several projects that aim to regulate it in a very hard way.
About the current U.S. crypto market situation, Brian Kelly commented:
“The U.S. may have already lost the race. …It is very concerning to me. Asia is eating the U.S.’ lunch. The U.S. is the centre of finance. We should take the lead in it.”
There are many countries in Asia, including Japan, that have imposed very positive regulations on the market. Many companies are working in the country and are very comfortable operating there due to the clear regulations they have.
Many thanks to Chair @RepMaxineWaters, Ranking Member @PatrickMcHenry, and the rest of the House Financial Services Committee for devoting so much time to discuss Libra today. We will take the time to get this right.
— David Marcus (@davidmarcus) July 17, 2019
The United States has yet to create proper regulations for the cryptocurrency market if it wants to remain a leader in the cryptocurrency space.
At the same time, the Chief Strategy Officer of CoinShares, Meltem Demirors, testified before the U.S. House Financial Services Committee trying to show the difference between altcoins and Bitcoin (BTC). During a conversation with CNBC, she explained that lawmakers in the United States are trying to understand what Libra is and how it differentiates with other virtual currencies and Bitcoin.
In addition to it, Demirors explained that cryptocurrencies will remain operating despite the negative sentiment there is among several officials. Finally, Demirors mentioned that lawmakers are aware that the U.S. needs to remain competitive and it is important to have regulatory clarity.