Crypto executives and at least two US senators who own bitcoins can be on the same page when it comes to regulations - keep them to a minimum.
In December, six crypto executives testified at a hearing before the U.S. House of Representatives Committee on Financial Services.
TTwo members of the powerful Senate Banking Committee, who heard the testimony and will participate in the regulation of cryptocurrencies, own the digital assets.
See also: Six Crypto Executives Warn Congress Not To Over-Regulate Cryptocurrencies
TO Wall street journal analysis of disclosed public financial records Senator Cynthia Lummis owns $ 250,000 in bitcoins. That makes the Wyoming Republican, who has long been a proponent of the currency, the member of Congress who invests the most in the asset, according to the report.It has accepted bitcoin contributions and Wyoming has passed several crypto-friendly laws.
Senator Pat Toomey (R-Pa.) It has a minor participation in the industry.
Lummis and Toomey are the only two senators with such investments, the WSJ concluded after a review of financial disclosures. They argue that their familiarity with cryptocurrencies will help them craft legislation.
Lummis is reportedly planning to pressure other members of Congress to emulate Wyoming's hands-off approach to crypto regulation, which has led the crypto exchange.Krakenand blockchain platform Cardano to move its headquarters to the state. In addition toexempt digital currencies from property taxes, And by systematizing regulatory language, Wyoming has encouraged crypto miners to use natural gas that is an unwanted byproduct of oil drilling to fuel their energy-intensive activity.
Read more: Sen Lummis Christmas Gift for Crypto: Clear Regulation in the New Year
In a testimony on Capitol Hill, crypto executives said that hands-off approach works for them.
Circle CEO Jeremy allaire saying Up to 20 million people in the US and 200 million worldwide participate in the digital asset market.
He cautioned that not all digital payment instruments are the same. But, in the same way, "not everyone is part of an unregulated Wild West as has often been described," he added.
Allaire He noted that any policy framework must support an "open and competitive playing field and allow new technologies to flourish.""
Brian brooks, Bitfury Group CEO, testified that a national policy agenda that takes crypto compliance seriously should assess whether it makes more sense to continue to keep crypto activities outside of the regulated financial system or bring them within the system so that they can be monitored and operated with the appropriate levels of management of risks.
Alesia Jeanne Haas, CEO of Coinbase and CFO of Coinbase's US subsidiary, warned that without legislation being debated with public involvement, the US runs the risk of unnecessarily burdensome and chilling laws and regulations.
But not everyone agrees that a light touch on crypto regulations is the solution. Some argue that it is inappropriate for elected officials who own these personal investments to determine the new rules.
Lee Reiners, a former official at the Federal Reserve Bank of New York, said that considering that these two senators advocate for favorable regulation of cryptocurrencies, it is only fair to question their conflict of interest.
Rep. Alexandria Ocasio-Cortez, a New York Democrat who sits on the House Financial Services Committee, said on Instagram that members of Congress should not own individual shares or assets in cryptocurrency.
"Because we have access to sensitive information and future policies, I do not believe that members of Congress should have / trade individual stocks, and I choose not to have any in order to remain unbiased on policy marking," he said. โI also extend it to digital assets / currencies, especially since I am a member of the Financial Services Committee. So the answer is no, because I want to do my job in the most ethical and impartial way possible. "
Senator Elizabeth Warren (D-Mass.) Has inserted stricter ethical rulesthat would prohibit members of Congress and other federal officials from owning or trading stocks or other assets that may be influenced by their agency, department, or stocks.
Can enjoy: SEC paying attention to crypto exchanges
President of the Securities and Exchange Commission (SEC) Gary Gensler has warned that cryptocurrency exchanges that do not trade with SEC approval can expect to see more enforcement action.
