Eternity Law International — News — US Congress introduces new bills on cryptocurrency

US Congress introduces new bills on cryptocurrency

Published:
October 7, 2020

The blockchain technology goes to a new level. Recently the US Congress presented two new bills governing the price setting procedure in the cryptocurrency market. The main goal of these acts is to create competition, increase market activity and attract traders on the crypto market in the US.

H.R. 922 – virtual currency consumer protection act

One of its major achievements is providing the official term of “virtual currency”. Digital representation of value that does not have legal tender status and that functions as a medium of exchange, a unit of account, or a store of value.

In general, the act related to the process of price settings and intended to solve the problem of pricing speculations.

According to the bill, the price-tracking function relies on the Chairman of the Commodity Futures Trading Commission (CFTC). One of duties is to prepare a detailed report, which covers all issues concerning existing and possible price speculations. This report should also include the hidden risks for investors on crypto market, so they can protect their assets.

H.R 923. – U.S. Virtual currency market and regulatory competitiveness act of 2019

This act puts on the Chairman of CFTC another important function – comparison of national and international legislation in part of blockchain regulations and preparation of the legislative proposals and recommendations. The required information should be prepared together with the relevant federal agencies and included the Chairman’s report.

The bill mentioned above also suggests a new approach to the cryptocurrency exchange regulation. The main differences of the proposed system are improved market governance, issuance of federal licenses for the market participants and consumer protection. The 922 and 923 acts promulgated after the introduction of the Token Taxonomy Act, which suggests putting the cryptocurrency to the separate category.

For now, the cryptocurrency regulated by the security legislation, which does not cover all the issues concerning the constantly growing virtual currency market. If the 922 and 923 adopted, they will function as independent legislative acts without binding to the securities.

The token taxonomy act

The Token Taxonomy Act also contains a definition of virtual currency, which is quite similar to the one proposed in the 922 bill. The U.S. Congress lays a foundation for future legislative basis in the field of virtual currency activities.

It is unknown for this time if the 922 and 923 bills will be pass, as they have to be consider by the subcommittees and the House of Representatives. After that, the bills are transfer to the Senate and then signed by the President.

In any case, the existence of such bills indicates the readiness of the state to support and develop the cryptocurrency market, so it is a promising field for investments and business.

Please join our Telegram channel in order to keep updated for the new offers.

You could be interested

Crypto license in Italy

Crypto-currencies continue to be actively implemented and expanded in the modern world. A lot of capital-holders are interested in joining the crypto-environment and developing their business in this direction. This is due to the fact that this area is quite productive, profitable, effective and rapidly developing. Italy is one of countries supporting crypto-currencies and trying...

Gaming license in Nigeria

In Nigeria, the evolving landscape of wagering is closely intertwined with cryptocurrency, leading to a surge in the demand for a structured wagering license framework. As company seek to establish their presence in this burgeoning market, the necessity to navigate through complex regulations, including the cost and price of obtaining a certificate, becomes paramount. Businesses...

What is a smart contract?

One of the concepts that invigorated the develοpment of blοckchain-based technologies was the idea to get rid of 3rd-party intermediaries, such as banking institutions and monetary authorities, from a person’s financial affairs. It is still under question whether this objective has been reached, but the boom in cryptocurrencies—most notably, Bitcoin—has caused many questions about centralized financial organizations...

Advocate assistance in court

Any business activity is aimed at making a profit. But often the amount of profit depends directly on how the legal position in the courts effectively and competently is built. According to the current procedural legislation, the jurisdiction of a particular dispute is determined by the branch of law, its subjects, the territory in which...

Company registration in Bangladesh

For foreign investors, Bangladesh is one of the most attractive jurisdictions because of the following: Due to the above factors, investors who want to freely cooperate with the Asian, first of all, the Chinese, market seek to create a company in Bangladesh. Bangladesh is offshore, which makes it possible for any entrepreneur, regardless of residency,...

Crypto License in Germany

Germany isn’t only one of most trustworthy, commercially honest and strict in terms of compliance jurisdiction, but also a country that is committed to massive technological and financial development. Despite the fact that the status of a fairly conservative commercial space has been assigned to jurisdiction, this country strongly supports innovative solutions and tools, in...

Discover our services

The international company Eternity Law International provides professional services in the field of international consulting, auditing services, legal and tax services.

Ready-made companies for sale

Companies with a bank account around the world

Banks for sale

Established Banks for sale

Ready-made licenses for sale

Forex, cryptocurrencies, gambling, EMI, PSP, SVF, MSO, DLT

Licensing

Forex licenses, cryptocurrencies, gambling, EMI, PSP, SVF, MSO, DLT

Offshore company registration

Expert advice on the acquisition of an offshore company

Open a bank account

Open bank accounts in more than 120 banks around the world
Fill the blank:

Zurich

Dreikonigstrasse, 31A, Stockerhof
+41 435 50 73 23

Kyiv

Baseina street, 7
+38 094 712 03 54

London

Grosvenor Gardens, 52
+44 203 868 34 37

Washington

1629 K St. Suite 300 N.W.
+1 (888) 647 05 40 Toll Free

Vilnius

Gediminas Avenue, 44A
+370 52 11 14 32

Tallinn

Kesklinna linnaosa, Tuukri 19
+372 880 41 85

Edinburgh

Lochrin Square, 1
+44 203 868 34 37

Nicosia

Jacovides Tower, 5 floor
+371 665 550 51

Riga

Esplanade, 7 floor
+371 665 550 51

Hong Kong

18 Harbour Road, 35/F, Central Plaza, Wanchai
+852800938622 Toll Free

Singapore

Level 42, Suntec Tower Three, 8 Temasek Boulevard
+6531594300

Sydney

20 Martin Place
+61 2 888 00 365

Porto

2609 Avenida da Boavista
+351 800 500 206 Toll Free
Calls are made only from Portugal

Tbilisi

Revaz Tabukashvili Str., N 45, area N 7
+995706070360