The regulation of cryptocurrencies in the United States involves politics to a large extent and how the government wants to have its hold on money in the country. At the same time, various people from inside the government have spoken against USA’s approach to regulating cryptocurrency. Be it billionaires or senators, there is both opposition and support for cryptocurrencies in the US political landscape. Now a member of the US Securities and Exchanges Commission has openly said that the country has failed to regulate cryptocurrencies in the right direction.
Hester Pierce’s comments come in the wake of the Terra Luna crash, where billions of dollars were lost in under 24 hours. Pierce spoke at the D.C. Blockchain Summit where she said that the country’s crypto regulation policies have stopped all growth and progress in the crypto space. It is actively discouraging any innovation in the crypto space by keeping the laws in a gray space. SEC, on the other hand, is pushing for more hold in the crypto space. Hester Pierce believes that the regulation should be devised around preventing fraud and encouraging innovation.
Different countries have different policies when it comes to regulating cryptocurrencies. While some governments have banned crypto, others implicitly or explicitly discourage innovation in the crypto space. Over the last few years, the US government has gradually increased its focus on cryptocurrency regulations. At the same time, other countries have adopted clear rules regarding cryptocurrencies. As of now, the world awaits how the US government decides to deal with the crypto question.