A closer view at the suggestions made by Industry reps to bring about changes in Stabenow- Boozman crypto regulation bill

by | Sep 22, 2022 | Bitcoin101, Cryptopedia, Market, News | 0 comments

A cryptocurrency market is a place where changes of different types are taking place now and then, new reformations are being made to bring about improvement in certain aspects as well as new ways being introduced. It is a highly volatile market that is affected by costs and whose value fluctuates based on which crypto asset is in the hype at a particular time. It depends solely upon the way users accept a certain crypto asset. This article deals with one such change that has been proposed to take place and how it can make a difference.

What do the members of the crypto industry have to say about the needed improvements?

The various members who are known for representing the crypto community have given their viewpoints on the Digital Commodities Consumer Protection Act on the 15th of September. At a panel that has been conducted by the Senate Agricultural Committee, have been all praises for the bill mentioned herein. However, they came up with various suggestions that would be necessary for being about improvements for the betterment of all. These suggestions were also given in the hearing of this panel.

What was the suggestion given by them?

There were different aspects with which various members of the panel, as well as the speakers, had a problem. The definitions became a matter of concern for the five speakers that were present there in the panel as well as the Blockchain head of policy, Jake Chervinsky. He even took a step further and published a statement on the same bill moments after the hearing was conducted. In this hearing, all of the members, or to be more specific, the commenters expressed an interest to make the definition of commodities and security, a lot clearer. This was the only necessary change or improvement, as said by the speakers, that the bill has been lacking.

They said in a statement that even though the bill includes the matter of security and has provisions made in it as well, however, it does not dictate or display in any manner what it considers or does not consider as part of security. This statement was specifically made by the Vice President and deputy general counsel of Coinbase, Christine Parker.

A further concern regarding the bill

There have been various comments and remarks made about the bill and what it considers security. One such statement mentioned how the bill has left it for the perusal of the court and other such agencies to decide whether a crypto asset is a security or not. These crypto assets include all except Bitcoin and Ethereum. It has also been mentioned that this method won’t last for a long time as it has never in the past. It is bound to fail in the long run and it has significant implications for the consumers as well.

Conclusion

There have been also various issues about the fact that the bill has restricted various users and has allowed them to transact in a transaction or digital commodity that is not easily susceptible, however, it has not specified particularly what stands as easily susceptible. There have been numerous concerns about the scope of the bill among the users and the members of the panel as well.

Some issues have also been raised in this regard which hints at the bill posing a threat to the decentralized finance system. It has also been hinted that the bill has certain systems in place that can make it difficult for Defi to work within that mechanism.