Representative Paul Anthony Gosar, on 9th March, introduced the Cryptocurrency Act of 2020 that aims to bring clarity and legitimacy to the crypto industry. Currently, there is no regulatory framework for the crypto industry in the USA. The bill proposed by the US congressman sets out to define different categories of digital assets.
“Erik Finman and Marshall Hayner contributed to the discussion draft.”
The founders of the blockchain-based payment app Metal Pay, Marshall Hayner, and Erik Finman also contributed to the proposed cryptocurrency bill. According to The Cryptocurrency Act of 2020, regulators must classify digital assets into three categories, which include crypto-commodity, crypto-currency, and crypto -security. And different regulators will oversee these categories, which mainly include CFTC, SEC, and the Secretary of the Treasury.
The ambitious crypto bill is unlikely to get passed.
The highly ambitious crypto bill presents us with a picture of how clear crypto regulations might look in the future. But according to experts, the bill is very unlikely to get passed. However, the bill tries to redefine the scope of crypto regulation by simplifying the issues around cryptocurrency and its relationship to the larger economy.
The bill defines stablecoins such as Tether, USD Coin as a representation of the US currency, as opposed to bitcoin, which is not backed by any government and does not represent any national currency.