In recent news, U.S. lawmakers have introduced a new bill that seeks to establish a regulatory framework for cryptocurrency markets. The bill, known as the “Cryptocurrency Act of 2020,” was introduced by Representatives Paul Gosar (R-AZ) and Darren Soto (D-FL). The bill seeks to provide clarity and certainty in the cryptocurrency markets by creating a comprehensive framework for the regulation of digital assets.
The bill would create three distinct categories for digital assets: “currency,” “commodity,” and “security.” Each category would be subject to different regulations, with currency being the least regulated and security being the most regulated. Currency would include digital assets such as Bitcoin and Ethereum, commodities would include digital assets such as gold and oil, and securities would include digital assets such as stocks and bonds.
The bill would also create a new federal agency, the “Digital Commodity Exchange Commission,” which would be responsible for regulating digital asset exchanges. This agency would be tasked with ensuring that exchanges are compliant with applicable laws and regulations, as well as providing consumer protection. Additionally, the agency would be responsible for creating rules and regulations for digital asset exchanges.
The bill is seen as a positive step towards providing clarity and certainty in the cryptocurrency markets. By creating a regulatory framework, the bill seeks to protect investors from fraud and manipulation while also providing a safe and secure environment for digital asset trading. Additionally, the bill seeks to create a level playing field for all participants in the cryptocurrency markets.
The bill has received a lot of support from both sides of the aisle. Supporters of the bill believe that it will help to create an environment of trust and transparency in the cryptocurrency markets. Additionally, it is hoped that the bill will help to attract more institutional investors to the cryptocurrency markets.
Overall, the introduction of this bill is seen as a positive step towards establishing a regulatory framework for cryptocurrency markets. By creating a comprehensive framework for the regulation of digital assets, the bill seeks to provide clarity and certainty in the cryptocurrency markets while also protecting investors from fraud and manipulation. It is hoped that this bill will help to create an environment of trust and transparency in the cryptocurrency markets while also attracting more institutional investors.
