US Congress and Cryptocurrency
Cryptocurrency has been gaining in popularity over the last few years, but its legal status is still unclear. The US Congress plays a major role in this debate, as it holds the power to create laws that govern cryptocurrency transactions and use. In this article, we will discuss how US Congress affects cryptocurrency and what actions have been taken so far.
Overview of US Congress’ Role
The first step in understanding how US Congress impacts cryptocurrency is to look at the roles that each branch of government plays in regulating cryptocurrencies. Generally speaking, most regulatory efforts are focused on financial institutions such as banks and exchanges that facilitate crypto trading or investing. While there may be some minor attempts by individual states to regulate cryptocurrencies (usually through taxation), the federal government has yet to take any comprehensive action regarding cryptocurrency regulation. This means that for now, without specific legislation from congress regarding digital currencies such as Bitcoin or Ethereum, they remain largely unregulated by the United States government.
Recent Actions Taken by US Congress
In recent months however, members of both chambers of congress have begun introducing bills related to cryptocurrencies and blockchain technology more broadly:
– In 2018 Senator Mark Warner introduced a bill titled “Combatting Money Laundering Act” which requires virtual currency exchange platforms operating within the United States register with FinCEN (Financial Crimes Enforcement Network). It also includes provisions requiring these platforms report suspicious activity related to their users’ transactions involving virtual currencies;
– Representative Warren Davidson introduced another bill titled “Token Taxonomy Act” which would exempt certain tokens from being classified as securities under existing law;
– Representatives Darren Soto & Ted Budd introduced a bill called “UIGHUR Act” which seeks to impose economic sanctions against China for alleged human rights abuses using blockchain technology;
– Several other pieces of legislation were proposed during 2019 including one aimed at preventing insider trading among traders who transact with digital assets such as Bitcoin or Ethereum .
Conclusion
It remains uncertain if any of these bills will become law anytime soon due to political gridlock in Washington D.C., but it does show an increasing interest from lawmakers about regulations surrounding cryptocurrency usage within the United States — something many advocates have long sought after since its inception nearly a decade ago
