US Senators – Democrat Kirsten Gillibrand of New York and Republican Cynthia Lummis of Wyoming – are seeking feedback from users on GitHub for the new crypto legislation. They published the new bipartisan law on the Microsoft-owned software development and version control platform.
The senators are eager for comments from crypto industry stakeholders, consumers, and interested parties. Gillibrand and Lummis want to ensure that this landmark legislation reflects the innovative nature of the industry it regulates. They also want to add confidence, trust, and stability to the consumers.
The bipartisan bill known as the “Lummis-Gillibrand Responsible Financial Innovation Act, seeks to set a standard for determining the quality of a digital asset, irrespective of whether it’s a commodity or security. Many cryptocurrencies, as per the current law, would be designated as commodities. Therefore, it falls under the jurisdiction of the Commodity Futures Trading Commission (CFTC) and not the Securities and Exchange Commission (SEC).
Summer Mersinger, CFTC Commissioner, had earlier in the month said the independent board has initiated a review of its role over cryptocurrencies. She highlighted that the CFTC could have some expanded role making in areas like spot-market crypto trading. Mersinger said the industry is coalescing around the CFTC becoming the primary regulator. She described CFTC as a strong regulator, but with a lot of flexibility for the registrants.
Gillibrand, in a press statement, said digital assets, blockchain technology, and cryptocurrencies have seen tremendous growth in the past few years. They offer substantial potential benefits – if harnessed correctly. The New York senator believes it’s critical for the US government to play a leading role in developing policy to regulate new financial products. Doing so would encourage innovation and protect consumers.
The new legislation is likely to be discussed at the upcoming Senate Finance Committee hearing.