Posted 1 year ago | by Ben Armstrong
U.S Legislator Brings in Bill to Protect Cryptos from SEC
Tom Emmer, who previously served as the co-chair of the Congressional Blockchain Caucus, which sponsored legislation that would support blockchain and tokens in the past, just introduced a new bill that would help shield token sales from SEC enforcement actions.
“Companies that have followed our current rules of the road, even if convoluted, deserve the certainty that they can offer their digital asset to the public and help contribute to a truly decentralized network,” Emmer stated.
With the condition that blockchain companies demonstrated full compliance with existing securities legislation, they are allowed allow to conduct legitimate cryptocurrency token sales without the fear of regulatory backlash under Emmer’s plan for a U.S. crypto bill.
Libra Shines a Light on Cryptos
After last week’s Congressional hearing with Mark Zuckerberg over Facebook’s Libra intentions, fellow Republican Congressman Sylvia Garcia introduced legislation that would classify stablecoins, including Tether (USDT) and Paxos (PAX), as securities.
Facebook’s Libra has made a substantial impact on numerous areas, and seems to be attracting regulatory action to the crypto sector. So far, Libra is just a project, but it has shown how seriously regulators take cryptos.
The SEC has undertaken many enforcement actions since the heady days of 2017, and multiple refund orders have been dispatched. More recently, it settled with Block.one over the protocol’s $4 billion USD ICO and filed a lawsuit against Telegram for its billion-dollar private sale earlier this month.
Although Libra has domiciled itself in Switzerland, the tough stance from the SEC seems to be making representative Tom Emmer concerned.
Emmer told the Congress, “I can safely say that this is at least the second time you’ve testified before Congress,...where members look like they have invested absolutely no time learning about new technologies to responsibly question tech companies,” while Facebook frontman Mark Zuckerberg was in the hearing.
Cryptos Find Support
Some of the members in the US are fighting to protect cryptos, while the UK government is not keen to take a part in the FCA ban, or at least wants to distance itself from the ban.
Patrick McLain, who is a co-founder of blockchain accelerator MouseBelt, also things that it is wise to help cryptos weather the regulatory storm. He commented, “This is the government putting the very concept of cryptocurrency on trial,” which may be an accurate way of describing the attention tokens are getting from regulators.
Despite all the talking, there has been little done to either stop the use of tokens in the US, or help them survive. The cryptocurrency market is growing all the time, and there are many nations who welcome the industry with open arms.