Rep. Don Beyer proposed the Digital Asset Market Structure and Investor Protection Act, which would incorporate digital assets into existing financial oversight systems to protect consumers and stimulate innovation.
Money laundering and other illegal activities have also made extensive use of digital assets. For example, the Colonial Pipeline, which supplies oil to much of the east of the United States, was hacked in May 2021 and had to pay a ransom of $ 4.4 million in Bitcoin, the currency chosen for ransomware attacks.
Don Beyer introduced crypto legislation
Don Beyer, a member of the U.S. Congress, has tabled a bill to regulate the cryptocurrency market to protect investors and encourage innovation. The law on market structure and investor protection for digital assets, passed on July 28, aims to protect consumers while promoting innovation.
Overall, as reported earlier this year, the United States appears to be leaning towards a broad regulatory framework. Following the Colonial Pipeline disaster, the US government has increased its focus on cybersecurity in recent months.
The new legislation is the latest in a series of moves in the United States that indicate a new regulatory framework. Authorities in the United States have become louder about the crypto industry, advocating stablecoin regulation, investor protection, and changes to securities laws to help deal with crypto cases.
Until this year, the United States remained silent on regulation in particular. Experts and industry insiders, on the other hand, have called for a review of the crypto market, claiming that the country will lose a lot if it tries further.
The bull market of 2021, on the other hand, appears to have sparked renewed interest in the market as investor protection, taxation, and legal definitions of digital assets become hot topics.
Beyer admires the crypto market
Beyer was full of admiration for the crypto market, but stressed the need for a regulatory framework for the general health of the sector and investors. He cites the challenges of the market and asks US law to catch up after discovering that assets like Bitcoin and Ethereum are “staying here”.
The content of the bill includes, among other things, legal definitions of digital assets and related securities. According to Beyer, this is intended to give the US Securities and Exchange Commission and the Commodity Futures Trading Commission power over the asset class.
It also called for digital assets to be classified as monetary instruments in the sense of banking secrecy and for them to comply with anti-money laundering rules.
The White House recently mentioned the crypto market and stated that it would use bitcoin taxation to partially cover the cost of its new infrastructure program. This suggests that the authorities are working on a regulatory framework that the Biden government is believed to be working on.