The United States Securities Act is not malleable enough to include digital assets, as evidenced by the parade of cryptocurrency native companies that tried and did not get to the hearing of the Securities and Stock Stock Committee (SEC), Rodrigo Seira, a special adviser to Cooley LLP, informed the home committee on April 9.
Dissertation, entitled American Innovation and the future of digital assets adapting American provisions regarding securities for the digital era, Seira performed, Wilmerhale’s partner, Tiffany J. Smith, legal director of Polygon Jake Werrett and Alexandra Thorn, senior director of the Center for American Progress.
“It is obvious that the current regulatory framework of securities is not a real option for regulating cryptowal.”[T]The idea that cryptographic projects can come and register with SEC are clearly false. “
Cooley LLP Special Advisor Rodrigo Seira turns to the Committee on April 9. Source: Financial Services Committee
Seira admitted that cryptocurrency promoters who collect capital for a modern enterprise should be subject to federal provisions on securities.
“However, in practice, practically no cryptographic projects have successfully recorded their tokens on the basis of federal provisions on securities and lived to tell the story,” he said, adding:
Projects that tried to follow [the] The current SEC regulatory requirements have issued significant resources and effort only on failure or survival in a state of regulatory uncertainty. In addition, registration is not a simple one -off process. Registration of token in the same way as shares cause the obligation to act as a public company […]. “
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Repairing the ship
By introducing witnesses, a representative of Bryan Steil, who manages the subcommittee on digital assets, financial technology and artificial intelligence, recognized the regulatory blockades, which, he said, were introduced by the previous administration.
Congressman Bryan Steil turns to the trial on April 9. Source: Financial Services Committee
According to President Donald Trump, the legislators are trying to fix the ship, passing reasonable regulations, said Steil.
One of the first steps took place last week, when the House Financial Service Committee was promoted to a stable act, which aims to regulate Stablecouins related to the American dollar and other Fiat currencies.
Source: GOP financial services
A month earlier, the Senate Banking Committee has developed the Genius Act, which aims to regulate Stablecoin issuers by establishing reserve requirements and require full compliance with the regulations regarding washing of prevention of money laundering.
The next step is “promoting the second half of this program: comprehensive regulations regarding the structure of the digital asset market,” said Steil.
Ro Khanna’s representative said last month at a digital assets conference that the market structure account would exceed the line this year.
The purpose of such provisions is to establish a clear regulatory framework for digital assets, including their legal categories and jurisdiction of agencies, such as SEC and Commodity Commodity Futures Trading Commission.
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