U.S. Congress Member and Crypto-Currency Act

Cryptocurrencies step-by-step became popular around the world. One U.S. Congressman wants to clarify certain aspects connected with the crypto industry.

On March 9, Paul Gosar introduced the “Crypto-Currency Act of 2020”. Based on the information provided by Gosar’s legislative assistant, this bill will tackle several problems. For example, the bill will provide not only clarity but legitimacy to crypto assets in the United States.

Let’s have a look at this bill to learn more about its importance. This bill wants to divide digital assets into three categories. The first one is crypto-commodity, and the second is the crypto-currency. The third one is the crypto security.

According to this proposal, the Commodity Futures Trading Commission (CFTC) will be in charge when it comes to governance. Several organizations such as the Securities and Exchange Commission and the Secretary of the Treasury via the Financial Crimes Enforcement Network will also take part in this process. All of the organizations stated above, would govern the all of the categories.

Crypto and updated bill

Interestingly, Bitcoin will be labeled as crypto-commodity rather than crypto-currency. It is worth mentioning that this bill defines the crypto-currency as the representation of U.S. currency or synthetic derivatives.

Moreover, the bill is an updated version of the first one leaked in the last month of 2019. The updated version is more explicit about determining “primary” rather than “sole” regulatory responsibility.

Furthermore, Gosar is the only member of the U.S. Congress who is presenting the bill, without a co-sponsor. However, Gosar’s team hopes that other lawmakers will support this bill.

It is important to note that Bitcoin investor Erik Finman helped to draft this bill. It is hard to say whether U.S. lawmakers will support this bill or not. However, Paul Gosar should be proud of this bill. Thanks to such bills, not only lawmakers but ordinary people as well will learn more about the industry.