One Washington DC Insider: Crypto Regulation is “Nothing at All.. Nobody Talks About It”
D.C. Insider: “Nothing at All” Going on with Crypto Regulation
Recent comments by a D.C. insider suggest that the crypto community is the only one concerned with crypto regulation. As for the regulators themselves, there is nothing going on their end, which is quite unfortunate because there are still an array of definite questions.
The good news is that there is also other information that may suggest that some representatives do care. For example, On September 24, Representative Warren Davidson hosted an event and included crypto industry leaders for a roundtable discussion on the crypto regulatory environment. The roundtable, called “Legislative Certainty for Cryptocurrencies,” was held at the Library of Congress. Davidson discussed the importance of industry involvement in developing government rules that will change the crypto space.
Further, Davidson and fourteen other representatives issued a public letter to the SEC’s chairman, Jay Layton. In the letter, they requested that the SEC issue clarification on whether Initial Coin Offerings are considered security sales. The letter also identified concern about tokens being treated a securities, despite whether the designation was applicable or relevant. The letter specifically stated:
“Therefore, we believe [it] is important that all policy makers work towards developing clearer guidelines between those digital tokens that are securities, and those that are not. Through better articulation of SEC policy, and, ultimately through formal guidance and legislation.”
The letter further discussed concern that the current SEC stance is taken through enforcement actions, which causes market participants to try to divine SEC policy based on the actions’ scopes. Specifically:
“Additionally, we are concerned about the use of enforcement action alone to clarify policy and believe that formal guidance may be an appropriate approach to clearing up legal uncertainties which are causing the environment for the development of innovative technologies in the United States to be unnecessarily fraught.”
Even though there has not been any new legislation in the crypto industry, US Representative Tom Emmer introduced three bills that may encourage support for crypto and how they are regulated in the country. Therefore, there may be hope that things will soon change.