Will the Tikok Ban law also be a threat to Bitcoin?

Will the Tikok Ban law also be a threat to Bitcoin?

A controversial draft law for the ban on the popular social media app Tiktok could possibly be used to proceed against crypto, say legal politicians from AT Coin Center.

The cryptofocussed non-profit organization claimed that legislation could be used in extreme cases "to block the access of the Americans to open source tools or protocols such as Bitcoin".

a silent attack on crypto?

The law to restrict the development of security threats that endanger information and communication technology (also known as restriction act ), which would be introduced on March 7th Give far -reaching powers to regulate technical products that are established in countries with enemy relationships with the United States.

In particular, the Ministry would be obliged to examine and prevent the use of such technologies that contain opposing interests and which represent a national security risk for the United States. According to Coin Center could be open to a too wide interpretation that prevents Americans from accessing "entire classes of technologies", regardless of whether foreign opponents have an interest in technology or not.

"We would contradict an exaggerated interpretation of" interest "in which the minister tried to argue that the entire class of all Bitcoin transactions is, for example, a class of transactions in which foreign US opponents are interested," says Coin explanation of the center.

The non-profit organization compared the new legislation to the currency regime of the Office of Foreign Asset Control (OFAC), which enables it to prevent Americans from doing business with sanctioned foreign powers. Ofac was examined last August when it added tornado cashs unchangeable smart contracts on his list of sanctioned companies, the coin center argued could be a violation of the first amendment.

In contrast to the powers of the OFAC granted as part of the Emergency Economic Powers Act (IEEPA), however, the RESTRICT Act does not contain an exception to protected language activities, nor does it require to call out a national emergency before he prevents transactions.

"A broad and discretionary authority to prohibit and disrupt all types of information technologies should not be exercised without adequate supervision and opportunity for review," he wrote Coin Center.

regulatory pressure on crypto

The crypto industry was targeted this month with all possible complaints and laws that critics argue that they could urge the emerging sector abroad.

The Securities and Exchange Commission (SEC) The Krypto exchange ratios last month with a fine of $ 30 million because it had failed to register its staking services as security. Last week the agency targeted coin base with a message from Wells for the provision of a similar product.

Supervisory authorities, including the Ministry of Finance, forced the Signature Bank-one of the most crypto-friendly banks in the United States-forced to conclude at the beginning of this month. A former congress member and board member of the bank, Barney Frank, claims The regulatory authorities did this intentionally to send an "anti-crypto message".

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