The United States Congress requires to take control of crypto legislation to make it a more “open process” where the whole market is examined “comprehensively,” recommends the chief of the popular U.S. crypto market body.
In a Feb. 22 Bloomberg interview, Blockchain Association CEO Kristin Smith stated the market requires U.S. legislators to lead crypto legislation in spite of it making the procedure “very slow” and regulators “stepping in” in the interim.
Smith kept in mind that in spite of regulators “moving very quickly,” development on legislation is happening “behind closed doors,” recommending it’s essential for more market participation in an “open process” which would be seen in Congress.
Smith thinks the concern with regulators leading legislation with enforcement actions and settlements is connected to “very specific facts and circumstances.”
She described it’s a tough position for Congress at the minute, as numerous in Washington D.C. who “were close” to previous FTX CEO Sam Bankman-Fried and FTX feel “burned” and “betrayed” over the collapse of the cryptocurrency exchange in Nov. 2022.
Smith is enthusiastic that stablecoin regulation will quickly occur in the U.S., stating Congress has actually been taking a look at it “since 2019” and the “work has been done.” She stated it “came close” to happening in 2015 prior to the collapse of FTX.
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She even more included that crypto dangers are various from standard monetary services, so it is essential regulators invest more time taking a look at market regulation and “tailor to those risks.”
Smith recommended that stablecoin and “market side” regulation ought to be a greater concern than concentrating on legislating crypto-associated criminal activity, stating that public journals make it “much more transparent” than we see in the standard monetary system.
This follows Blockchain Association’s primary policy officer, Jake Chervinsky, required to Twitter on Feb. 15, mentioning that no matter the number of enforcement actions the Securities and Exchange Commission (SEC) and Commodity Futures Trading Commission (CFTC) bring, they are “bound by legal reality,” including that “neither” has the authority to “comprehensively regulate crypto.”