US Congressmen Darren Soto (D-FL-09) and Ted Budd (R-NC-13) have jointly introduced two pieces of legislation to promote fair and transparent cryptocurrency markets and to explore the development of the US’s role in the industry worldwide.
The bills seek to: protect investors, deter bad actors, create market certainty and ensure American competitiveness in an evolving global marketplace.
The Virtual Currency Consumer Protection Act of 2018 calls for a study to be done within one year of enactment by various agencies including the Commodity Futures Trading Commission and the heads of the Securities and Exchange Commission. The report is to answer questions relating to price manipulation such as: methods of price manipulation, which types of crypto are most susceptible and the effects of and harm to investors if price manipulation occurs.
The US Virtual Currency Market and Regulatory Competitiveness Act of 2018 requests a similar report to be done by the same agencies within the same time frame but with a focus on ‘the state of virtual markets and ways to promote American competitiveness’. The report shall include opinions on: regulation of the current US crypto industry vs. regulation in other countries to demonstrate competitiveness in a global marketplace, the potential benefits of crypto and blockchain in the US commodities market and recommendations for legislative revisions if required to improve the ability of the CFTC to promote global competitiveness and adoption of crypto in segments of the commodity market.
In a press release dated December 6, 2018 the congressmen released a joint statement:
“Virtual currencies and the underlying blockchain technology has a profound potential to be a driver of economic growth. That’s why we must ensure that the United States is at the forefront of protecting consumers and the financial well-being of virtual currency investors, while also promoting an environment of innovation to maximize the potential of these technological advances. This [these] bill[s] will provide data on how Congress can best mitigate these risks while propelling development that benefits our economy. ”
The US regulatory giants seem to be stirring and slowly pivoting toward accepting the industry and seeing the economic benefits of crypto markets.