Cryptocurrency
‘Crypto-Currency Act of 2020’ – US lawmaker introduces draft bill to bring regulatory clarity
As reported by The Block, “U.S. Congressman Paul Gosar (Republican-Arizona) has reportedly introduced a draft bill to bring regulatory clarity in the cryptocurrency sector. “The bill, dubbed ‘Crypto-Currency Act of 2020,’ was introduced in the House of Representatives, according to a copy obtained by Forbes. The bill seeks to clarify which federal agencies should regulate cryptocurrencies. […]
As reported by The Block, “U.S. Congressman Paul Gosar (Republican-Arizona) has reportedly introduced a draft bill to bring regulatory clarity in the cryptocurrency sector.
“The bill, dubbed ‘Crypto-Currency Act of 2020,’ was introduced in the House of Representatives, according to a copy obtained by Forbes. The bill seeks to clarify which federal agencies should regulate cryptocurrencies.
“The bill has divided cryptocurrencies into three parts – ‘crypto-commodities,’ ‘crypto-currencies’ and ‘crypto-securities.’ Accordingly, it has proposed a ‘federal crypto regulator’ for each of the categories to notify the public of any licenses and registrations required.
“The Commodity Futures Trading Commission (CTFC) has been proposed to regulate crypto-commodities; the Securities and Exchange Commission (SEC) for crypto-securities; and the Financial Crimes Enforcement Network (FinCEN) for crypto-currencies.
“The bill has also provided definitions for the three types of cryptocurrencies. Crypto commodity means ‘economic goods or services;’ Crypto-currency is defined as representations of US currency or ‘synthetic derivatives resting on a blockchain;’ and Crypto-security, on the other hand, means ‘all debt, equity, and derivative instruments that rest on a blockchain.’
“’The Secretary of the Treasury, acting through the Financial Crimes Enforcement Network, shall issue rules to require each crypto-currency (including synthetic stablecoins) to allow for the tracing of transactions in the crypto-currency and persons engaging in such transactions in a manner similar to that required of financial institutions with respect to currency transactions,’ according to the bill.”