Almost 50 representatives from US-based financial stalwarts and leading crypto industry players will meet with Washington lawmakers this Tuesday to discuss the regulatory future for the emerging digital asset industry. The roundtable, dubbed “Legislating Certainty for Cryptocurrencies“, will be hosted by a Republican Congressman Warren Davidson, who is drafting a crypto regulation bill, set to be introduced in the House of Representatives later this fall.
In a letter to the invitees, Davidson said that “Your input is critical to helping us preempt a heavy-handed regulatory approach that could stall innovation and kill the U.S. ICO market.“ He has already prepared 8 questions to be discussed by the participants, touching on issues, such as protection against fraud, token issuance laws, and private funding disclosures.
According to CNBC, the roundtable will include representatives from Wall Street giants Fidelity and Nasdaq, venture capitalists Union Square and Andreessen Horowitz and US Chamber of Commerce. They will be joined by leading American crypto companies Circle, Coinbase, Kraken and Ripple. Four Congressmen are scheduled to give the opening remarks.
ICOs have particularly caught the eye of regulators, as the total amount of money raised this year has surpassed that of 2017 long ago and now sits well above $12 billion. A number of crypto industry leaders have warned that current financial laws need a major update to keep up with a complex emerging asset class. The said bill by Mr. Davidson would be the first of its kind in Congress. It is rumored to touch upon ICOs and whether they qualify as securities or not.
According to ConsenSys lawyer Pat Berarducci, “There are a lot of regulators wanting the U.S. to develop ‘do no harm’ policies to allow innovation to grow, just like they did in the internet era. Businesses and entrepreneurs are making decisions about where to locate and grow based on regulatory considerations. Policymakers are trying to foster innovation and at the same time protect consumers.“
Last week another US Congressman announced crypto-related legislation bills to support blockchain technology. Tom Emmer, who will also participate in tomorrow’s roundtable, presented drafts for three bills, listing numerous crypto benefits and calling for a reasonable legal environment.
As of right now, the US Securities and Exchange Commission (SEC) is using a ruling from a 1946 Supreme Court case to determine whether an asset is a security or not. SEC Chairman Jay Clayton has reaffirmed on a number of occasions that he is not willing to update the outdated laws to cater to the nascent crypto industry.
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I have been following the crypto markets since mid 2017, just in time to witness the incredible surge of the digital asset industry. Fascinated by the potential of blockchain technology I’ve started to dig deeper and that’s how I ended up meeting the Toshi Times team. I hold a Political Science degree, therefore the crypto regulation development is particularly interesting for me. I’m also heavily involved with music, running my own label, a YouTube channel and working with distribution. People call blockchain the ‘Fourth Industrial Revolution’ and I believe it will change our daily lives in the coming years and we will have the front row seats to witness it.