After Arrington’s Warning, Forbes Legal Expert Says US Might Soon Consider Crypto Regulation’s Bill
APR 13, 2019
China has set the tone of strict cryptocurrency trading regulation with its recently proposed but sure banning of Bitcoin (BTC) mining, which has been a cogent topic for consideration in the global digital space. According to the recent opinion aired by Forbes legal expert, contributor and a highly ranked crypto space lawyer, Joshua Ashley Klayman, United States could be considering the Bill to regulate the activities of digital currencies trading in the country. This is coming months after Michael Arrington, founder of TechCrunch who runs a crypto fund, issued a warning to the United State about possible loss of investors.
Like China, no one expects harsh cryptocurrency regulation in the US, but the prominent legal expert shared that US crypto regulatory body are working in the right direction with their ambitious steps.
Read from Klayman’s excerpt about the possible crypto trading regulation below;
“While the quest for legislative perfection is admirable, so is the courage to listen to the blockchain community’s concerns and take action in response. Blockchain literally requires collaboration, as does changing existing laws. The Bills themselves are likely to evolve.”
In another development, the United States federal regulators have showcased their interest in clarifying the mode of trading in the cryptocurrency emerging market about a week ago. The first crypto-allied ‘No Action’ letter has been reportedly issued by the Securities Exchange Commission (SEC), a step labeled as historic decision.
In the quest to reduce uncertainty to a barest minimum in the crypto market, the US congress would bring back the Token Taxonomy Act. Its success could well give the clarity of digital coins, which would prevent SEC from treating the tokens as securities.
Table of Contents
Countries like UK are welcoming non-security Tokens than US
United Kingdom (UK) is one of the countries approaching non-security tokens better than US. A couple of weeks ago, the United Kingdom’s financial regulator published a consultation paper titled “Guidance on Cryptoassets”. The objective of the message contained in the paper on cryptocurrency is to clarify the regulations that govern the crypto traders in the digital coins market.
The UK’s Financial Conduct Authority (FCA) declared in the introduction of the paper that the concluding version of the paper serves as help for market participants to know whether the cryptocurrency they trade with, is in line with the lay down regulations.
The regulator’s massage is stated below;
“This will alert market participants to pertinent issues and should help them better understand whether they need to be authorised and what rules or regulations apply to their business.”
Founder Of Arrington XRP Capital, Michael Arrington, Warns US Against Loosing Capital Investors
Michael Arrington, Founder of Arrington XRP Capital, has also advised the SEC to act fast in regulating businesses in United States cryptocurrency market if they don’t want to lose capital investors to Europe and Asian markets.
“We have a few good U.S. investments, but 80-90 percent of our investments are in Asia, Europe and Israel right now because they are actually countries where there’s enough regulatory certainty that entrepreneurs feel safe starting token or blockchain companies there,” Arrington bragged about his $100 million Arrington XRP fund.
“Here [in the U.S.] they don’t. There’s so much regulatory uncertainty, add to that the tax burden and the visa burden of coming here and then our current federal government’s stance on immigration in general, they’re just saying ‘Fuck it’ and they’re staying in Singapore or Israel or Europe instead of coming here and starting companies,” he added.
Last year, the well-known entrepreneur said Arrington XRP Capital was subpoenaed by the U.S. Securities and Exchange Commission (SEC) twice.
Written by: Jack Marshall