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Industry leaders at a US congressional subcommittee hearing are set to call for clear digital asset regulations to maintain global competitiveness and attract crypto firms.
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Lawmakers and industry leaders are calling for a regulatory overhaul of the cryptocurrency sector under President Donald Trump’s administration to ensure the US maintains an edge over global competitors.
On Feb. 11, the Digital Assets, Financial Technology, and Artificial Intelligence Subcommittee of the House Financial Services Committee will hold a hearing titled “A golden age of digital assets: charting a path forward.”
Witnesses will include senior executives specializing in cryptocurrencies such as Jose Fernandez da Ponte from PayPal, Jonathan Jachym from Kraken crypto exchange and Timothy Massad from Harvard University.
Cryptocurrency advocates attending the US hearing on digital assets. Source: financialservices.house.gov
In a written testimony to Congress, Ji Hun Kim, president and acting CEO of the Crypto Council for Innovation (CCI), emphasized the importance of a clear, comprehensive digital asset policy at the federal level.
Related: CFTC announces crypto fraud action after enforcement priorities shift
He noted that international competitors, such as the European Union, the United Kingdom, Japan and Singapore, are advancing with clear regulations, putting the United States at risk of falling behind. Kim outlined four key legislative priorities to ensure the US remains a global leader in digital assets.
The need for a regulatory revamp
These include passing comprehensive market structure legislation, passing stablecoin legislation, enhancing coordination between the Securities and Exchange Commission (SEC) and Commodity Futures Trading Commission (CFTC) and supporting decentralized finance and individual empowerment.
Coy Garrison, partner at the Steptoe law firm, supported the call for regulatory changes under the new administration. He noted that the SEC, CFTC and the Federal Deposit Insurance Corporation (FDIC) are trying to attract crypto businesses back to the US by rolling back restrictive policies of the administration of former President Joe Biden.
Garrison’s testimony also stated that congressional action is needed to implement oversight of spot market digital asset trading in addition to the SEC’s duty to provide regulatory clarity under its existing jurisdiction:
“The timing is right for Congress and the Administration to work together to implement a much-needed regulatory framework for digital assets in the US.”
He also asked the government to withdraw lawsuits against crypto exchanges like Coinbase, Binance and Kraken and instead create registration pathways for digital asset businesses.
Magazine: Trump’s crypto ventures raise conflict of interest, insider trading questions
This article first appeared at Cointelegraph.com News
