Get to know the home republican who could decide on the future of crypto
Get to know the home republican who could decide on the future of crypto
While the crypto prices recovered last week, the publicly learned republicans of the House of Representatives form a sub -committee for cryptocurrencies. The announcement could mean the beginning of the end of the regulatory ambiguity of the United States in relation to blockchain and digital assets.
"Strange, not? True? The life of every man touches so many others. And if he is not there, he leaves a terrible hole, does he?" - Clarence, "It's a Wonderful Life" (Christmas drama from 1946 via a banking panic).
addressing a large hole
The MP Patrick Mchenry, a Republican from the delegation of North Carolina, said on Thursday that he is planning to set up the new crypto committee.
He says that "a big hole in the structure of the committee" will close to expect crypto. Mchenry referred to the Financial Service Committee of the House of Representatives, for which he is the future chairman of the 118th US Congress:
"We have to react for the supervision and the political design of a new investment class."
The announcement of a new house crypto panel collided with a massive crypto price bull run. Over $ 600 million at BTC shorts were liquidated when the Bitcoin price rose to $ 21,000. The overall capitalization of the crypto market rose to $ 1 trillion because old coins recorded double-digit growth.
After a one -year run to ever lower support levels, the market for cryptocurrency exchanges has finally shown some ghost. Perhaps everything it needed was a little broad consumer confidence and hope for a certain regulatory clarity.
After the fall of FTX in November, Republican Mchenry joined the Democratic MP Maxine Waters (CA) to request a non-partisan crypto law.
After a number of devastating bankruptcies of various crypto startups, consumers and investors could welcome the regulations of the congress. It could also clarify the future of many projects by solving the district fight between the US regulatory authorities.
For example, the SEC has pushed to control crypto control. But the Commodity Futures Trading Commission says that Bitcoin (BTC) and Ether (Eth) are raw materials.
Get to know the home republican who could decide on the future of crypto
A rule issued by the laws of the Republican Congress may not mean any burdens for the crypto industry. For example, this would be quite possible if Bitcoin were legally defined as a security. But it couldn't run that way.
a year ago the Republican Financial Service Service Chair :
"The congress has to fully understand these innovative new technologies such as #crypto. We do not need reflex -like reactions from the legislator to regulate for fear of the unknown."
mchenry also encouraged the political decision -makers to ask themselves whether they take cryptocurrency seriously and understand them well enough to make reasonable suggestions at all:
"To say it clearly, this technology has already been regulated. The question of politics is whether it knows enough about this technology that is neither fish nor meat to lead a serious debate."
An indication that new rules of the crypto under committee conducted by Republicans may not be stressful, Mchenry's position is on the regulations for numerous loans. He supported a republican change change from the Trump era in 2020 to reduce compliance loads for pay-off loans that award high-interest loans.
His largest employees are Alphabet Inc, a tech titan; Signature Bank, a New York commercial giant; and Metlife, Inc., an insurance company. There are many overlaps with the concerns and economy of the crypto business.
Whatever happens next, crypto and traditional financial markets will observe their future and develop strategies.
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