The U.S. is still contemplating its position on these new-age DeFi and Cryptocurrencies that have led to a stalemate between enthusiasts and them. Not only that, the U.S. SEC had banned the new lend option that was being introduced.
But later on, SEC reversed its decision and allowed it to be operational in the country. The tension between the crypto crowd and CBDCs issued by the state has been up for debate for some time. Tom Emmer was strongly against this move by the Federal Bank.
The privacy costs alone will cast doubt on the operations and the government will have unlimited surveillance of the thing. It will defeat the purpose of having cryptocurrency and having decentralized finance. Regulatory practices by the government on a cryptocurrency will further complicate things.
There are varying thoughts amongst the members of the congress and some are in favor of these currencies while others are not. This discourse can shape the policy formation that is to be later discussed in the house. Any such discourse can lead to laws that might not be in favor of crypto companies in the country.
But since there is still time till a bill or law is formed, there is a chance that some congressmen might turn the stance on DeFi. This will be hard to do as anti-crypto activities have been getting stronger in the world. With Russia and China completely banning them, the world looks forward to the USA’s decision on the matter.