US citizens are preparing for an administration change as the Trump tenure comes to an end soon. This tenure change will pivot numerous changes in the country, particularly position holders, and set regulations. Brian Brooks, a vocal advocate of cryptocurrency, will leave the US treasury to allow the next administration to take over.
The senior official who recently described DeFi technology as the future of banking held the position of the comptroller of the currency for a short time. President Donald Trump appointed him to take the seat in May 2020, showing that the advocate spent lesser than a year in the office. The DeFi enthusiast shared via a Financial Time’s interview that he saw a brighter future for the technology as it efficiently helps people to bank without involving intermediaries.
Brooks to step down
Based on recent reports, it is very likely that the regulator would exit his position as the comptroller of the currency, a watchdog that regulates bank activities. After he was appointed the acting comptroller in May when Trump nominated Brooks for a five-year tenure.
Sources claim that Biden will not retain the senior official and that the present comptroller would exit office even though this is not official yet. When the government retires him due to a new holder, then the public can confirm so.
Jay Clayton is the first financial regulator to retire from the office due to tenure change and others, meaning that Brian Brooks could be the next. Brooks contributed immensely to the growth of cryptocurrency in America, which led to the Currency (OCC) comptroller releasing several guidelines in the use of digital assets in the US. Amongst some of the tenure’s achievements, during Brook’s time, the OCC released a statement that gives traditional banks custodian abilities for cryptocurrencies. Also, the office now allows banks to use stablecoins as a means of payment to promote digital assets.
Brooks speaks against strict regulations
Many countries are drafting regulations for the use of cryptocurrencies to prevent their use for malign and illicit purposes. While their intentions are good, Brooks opines that strict digital asset regulations could discourage their use, thereby stunting its growth. FinCEN released a proposal for crypto use in the US, which brought lots of displeasure from the crypto community. Despite being a regulator, he doesn’t encourage stringent laws for crypto use.
Numerous regulations place know-your-customer requirements for crypto wallet firms to follow when customers open accounts with them. The platform’s anonymity is one reason it thrives; sources suggest that putting those requirements in place can cause some problems for the space, especially when there is a restriction to currencies sent daily.
Major exchanges advocated the space to show their displeasure through the FinCEN platform to prevent its eventual launching as a regulation. Although agitations cannot eradicate the need for rules but will reduce the restricting rules the body put in place. Still, the US regulation is undergoing some processes before it is made a law.