The US congressman Paul Gosar just introduced the Crypto Currency Act of 2020 that aims to bring more clarity on which regulator should cover digital assets.
The bill proposal says digital assets should be divided in 3 categories: crypto commodities, crypto securities and crypto currencies. These 3 should be governed by the Commodity Futures Trading Commission (CFTC), the Securities and Exchange Commission (SEC) and respectively the Secretary of the Treasury through the Financial Crimes Enforcement Network (FinCEN).
The Bill Initially Introduced in December
As a matter of fact, the bill (as first seen by CoinTelegraph) is an updated version of another one from December, and it’s now covering the definitions of smart contracts and decentralized cryptographic ledgers, both concepts with which they US regulators are struggling. It’s more explicit when it comes what primary and sole regulatory responsibilities mean too.
Gosar Presenting the Bill Solo
Not at all usual for the congressional practice, congressman Gosar doesn’t have a co-sponsor for the bill. His communication director explained that:
“Since this is such a niche issue, we worked with stakeholders and outside groups/experts to get a good sense of the kind of clarity that the industry needed. We chose to gather stakeholder support before working toward cosponsors.”
However, Erik Finman, the famous Bitcoin (BTC) investor wan involved in drafting the new bill. Finman mentioned there were a few participants bringing changes to it ever since December.
Many Draft Bills Introduced in 2019
2019 was a year that has seen many draft bills being introduced, mostly as a response to the Libra white paper from Facebook. Meanwhile, the initial version of Libra changed, probably after concluding the SEC has many regulations that could be interpreted in different ways.
The other most recent crypto-related bill is the Token Taxonomy Act, which was first introduced by Warren Davidson in 2018 and updated in April last year. Finman says he thinks the Token Taxonomy Act is now stalling and that Gosar’s new bill is “slightly bigger in scope.”