Surprisingly, a U.S lawmaker who actively supported cryptocurrency trading presented the most wide-ranging legislation to regulate the industry. Critics have hinted that this bill would allow the Treasury Secretary to forbid the creation of stablecoins. In case the U.S congress passed this bill. It will provide the Treasury Secretary with the power to dictate regulators to define rules for decentralized finance (DeFi) and create a charter for crypto exchanges, considering other measures.
The US Lawmakers name Don Beyer presented a 58-page digital currency act entitled “Digital Asset Market Structure and Investor Protection Act.” The primary goal behind this act is to control the cryptocurrency trade market from start to finish. It would also grant explicit permission to authorities in defining which digital assets are securities, which can be classified as commodities. The authorities would strengthen the tax data collecting function.
It seems that this bill green signals regulators’ desire to control the crypto industry. But where previous bills tried to propose sanctions to regulate the industry, this one includes multiple aspects. The bill is perceived as most detailed, even though it has jolted crypto supporters.
As of this writing, it is not clear that how much support the bill has in the U.S Congress. However, the bill’s passage timeline is also a big question. Despite these hazards, the attention to detail of this bill has raised the eyebrows of crypto scholars, lawmakers, and crypto traders as well.
A lawmaker, Marc Goldich, said that the detailed argument of this bill indicates that the person behind this idea knows the nitty-gritty of blockchain and digital technologies. Unfolding its implications on the industry is a time taking process. Does it have wings to go all the way? It’s a question for the future. However, this is an astonishingly well-crafted draft about the crypto market to date.
Apart from that, the bill seems to back the U.S central bank, to issue central bank digital currency. Many of the elected members of parliament have welcomed the bill as they were concerned about the consumer’s money protection. There have been some rumors about few parliamentarians who voice in the favor of this bill. The bill also tried to impose the Securities Exchange Act of 1934 on digital assets security. Beyer’s bill concluded that SEC should have all the power to decide which digital token is security and which digital token is a commodity.
In response to this bill, crypto scholars and private investors have said that this bill would tie the hands of private cryptocurrency exchanges and payment service providers. It’s an attempt to mold the crypto market according to the ruling elite.