The Door Cracks Open- The Senate Resolution on Classification of Digital Assets Signals The U.S. Congress is Open to Pro-Cryptocurrency Legislation

By Dr. Christopher W. Smithmyer

Washington D.C.- The Door opened just a bit yesterday to show that more and more Senators and Congresspeople are willing to discuss fair cryptocurrency laws for the United States. While the vast majority of cryptocurrency acts before the Congress are versions of the rejected Thompson bill from last year, written for and by the Federal Reserve. The resolution this week was a simple statement to the executive branch- the SEC is not the final arbiter of the law. Congress has the power to make laws, the courts have the ability to enforce and interpret them. The executive’s role is simple to execute them. If that is the case, then the SEC and other three letter agencies are now on notice that congress has reclaimed its legislative authority under the West Virginia v. EPA case.

The resolution passed with a majority. 60-38 the upper house shook the pillars of Washington by taking power away from an executive agency for the second time in two years. The first blow to one office government came in the West Virginia v. EPA case which stated that an executive office cannot have the power of all three branches of government. This statement is that an executive agency cannot dictate the lexicon of an industry not under its control. This opens the door for a louder voice by Congress, and, dare we say it, the people.

This is an opportunity for those who are in the cryptocurrency community to make their voices heard. The GBA has recently submitted a Model Law on Digital Assets and Exchanges the Dynamic Coalition on Blockchain Assurance & Standardization of the United Nations Internet Governance Forum. This law protects the people and the businesses wanting to work within the field. By sending this bill to congresspeople and senators, the community could not just be a force brining pro-business, pro-user legislation to the United States, but could also help create an aligned international system around the world. No more questions on taxability, AML/KYC, or the status of different types of coins. Those are defined. No more SEC ‘barcoding’ the regulation of the industry would be under the Department of Commerce. It brings a clear, transparent framework to our national cryptocurrency strategy.

Cryptocurrency is the fastest growing segment of the American economy, along with tech it is the buffer keeping inflation and recession at bay. People need to have control of their own wealth, their property and their person. This is not just a statement for now, but a concept of our nation’s founding. The resolution opens the door that the beltway crowd is willing to talk about the reality that cryptocurrency is here to say. It is not our time to walk through that door and let them know that the industry is here to support their efforts.