US Congressman Revamps Proposal to Legitimize Bitcoin (BTC) and Other Crypto Assets

hello folks you have reached the cryptocurrency portal and today we're going to go over a little interesting information as you know we always call for regulatory clarity on this channel and anytime there's a proposed bill that's going through Congress or in another country we always like to highlight it on this channel because we always say we need regulatory clarity in the United States or it's gonna stifle innovation or some companies and you go overseas where it's just a little more regulatory friendly and the jobs will be created there and all the innovation created there so I wanted to highlight this it's gonna be a boring video I'm just gonna tell you out right now I love this type of stuff and love understanding how the sausage is made so to speak and respect to how these bills are made in Congress so I'm actually gonna go over the draft bill that this congressman has presented so you can see from the headline here it says the US congressman revamps proposal to legitimize Bitcoin and other cryptocurrencies assets now this is what we need to watch for folks what's gonna come out of Congress what ends up going into the specific committees which politicians or congressmen Republicans or Democrats always helpful to have at least one on both sides who is putting it forward and who's getting behind it so you can see the momentum these things happen I don't know if a lots gonna happen in during an election year here into 2020 hopefully something will happen 2021 now with that said I do hold out hope that if it's a bipartisan bill that goes through sometimes some bipartisan stuff will get through Congress but we will wait and see so let's go through what this says and then I'm action go through the bill so it says here on Monday Representative Paul Gosar so he's a Republican from Arizona he introduced the latest proposal that aims to give clarity and legitimacy to Bitcoin and digital assets the cryptocurrency act of 2020 is attempting to address a number of regulatory issues for crypto currencies now if regulations are your thing folks I'll actually link in the comment section below a couple videos that I've done over the last couple months that actually talks more about regulations in the regulatory clarity that we need so moving forward it says currently the United States have no comprehensive framework for crypto currencies to support related businesses entrepreneurs or investors the lack of clarity continues to cast some confusion over what a cryptocurrency is how one may differ from another and which us regulars should oversee Bitcoin versus tether versus a theorem now go stars bill which is an updated version of proposal that was leaked back in December attempts to answer these questions and according to the new draft regulators would be tasked with categorizing digital assets into three distinct categories crypto commodity crypto currency encrypt up security the approach would put the three US regulators covering commodities currencies and securities the Commodities Futures Trading Commission CFTC the Secretary of the Treasury and this Securities and Exchange Commission or SEC in charge of the three different digital assets the bill defines crypto currencies the following as a representation of a US currency such as a stable coin as opposed to Bitcoin which is not backed by any government and does not represent any national currency under the proposal tether USD T USD coin USD C and true USD are in similar digital assets pegged to the u.s.

Dollar would be governed by the US Treasury through the Financial Crimes enforcement Network Vincente now crypto commodities are economic goods or services that are on a blockchain or decentralized cryptographic ledger this definition appears to apply to digital assets such as did Bitcoin crypto securities are defined as all debt equity and derivative instruments that rest on a blockchain or decentralized cryptographic ledger now regulators around the world continue to grapple with the crypto assets and how to protect consumers switching course in pushing for more clarity the Supreme Court of India recently struck down a circular issued by India central thank the Reserve Bank of India which banned commercial banks from offering any services to crypto exchanges and other crypto related businesses in South Korea regulators approved an amendment to legalize cryptocurrency trading in holding laying the groundwork for comprehensive regulatory framework in Germany policymakers officially classified Bitcoin and cryptocurrencies as financial instruments and now you can check out the latest proposal for the cryptocurrency act of 2020 here now we're gonna go through this together folks now if you're not into this click off now but I'm actually going to go through the proposed bill so we can kind of see where this representative is coming from I think this is cool I think this is deciding stick with it if you like learn a little about how that process works and then we can talk about at the end and you can put your comments in the comment section below let me know what you think so let's go through this together all right so here it is folks discussion draft and here's goes are the representatives putting this through and it says it wants to clarify which federal agencies regulate digital assets to require those agencies to notify the public of any federal licenses certain certifications or registrations required to create or trade in such assets and for other purposes so this is the bill which we just said be enacted this act will be cited as crypto currency Act here are the definitions definition 1 crypto currency the term crypto commodity means economic goods or services including derivatives that a have full and substantial fungibility be the Market Street with no regard as to who produced the goods or services see rest on a blockchain or decentralized cryptographic ledger number 2 cryptocurrency the term cryptocurrency means representations of the United States occur instead of derivatives resting on a blockchain or decentralized cryptographic ledger including a such representations or synthetic derivatives that are reserved back digital assets that are fully collateralized any correspondent banking account such as stable coins and be synthetic derivatives that are I determined by decentralized Oracle's or smart contracts and collateralized by crypto commodities other cryptocurrencies or crypto securities number three crypto security a in general the term crypto security means all debt and equity that rests on a blockchain or decentralized cryptographic ledger the exception the term crypto security does not include a synthetic derivative that is operated as and is registered with the Department of Treasury as a money services business as defined under that section or is operate in compliance with all applicable requirements of subchapter 2 of the chapter 53 of title 31 the United States Code commonly referred to as Bank Secrecy Act and all of the federal money anti-money laundering anti-terrorism and screening requirements of the Office of Foreign Assets Control in the Financial Crimes enforcement network and for decentralized cryptographic ledger the term decentralized cryptographic ledger means a ledger that a runs on a standalone blockchain that are secured through a minting mechanism such as proof of work proof of stake or otherwise B runs as a cryptographic asset or smart contract on an existing standalone blockchain and is secured through the issuing blockchain minting mechanism C is immutable and can be overwritten without controlling a majority stake of The Associated network indie requires a cryptographic link between blocks of transactional data e is permission list requiring no third party to transact only a connection to the Internet f is an irreversible bear commodity with all transactions being final and G is not controllable by any one single entity defined as having less than half of all nodes controlled by one single entity and H is not directly issued by a nation state or private entity number five decentralized oracle the term decentralized oracle means a service that sends and verifies real world data from external sources outside of a blockchain and submits such information to smart contracts that rest on the blockchain thus triggering the execution of predefined phone actions of the smart contract six digital asset the term digital asset means a crypto commodity cryptocurrency or crypto security and number seven insured depository institution the term insured depository institution has the meaning given such under Section 3 of the Federal Deposit Insurance Act eight primary federal digital asset regulator the term primary fidgets the federal digital asset regular means a the Commodity Futures Trading Commission with respect to crypto commodities be the secretary of the Treasury acting through the Financial Crimes enforcement network and the Comptroller of the currency with respect to crypto currencies and see the Securities and Exchange Commission with respect to crypto securities and number nine reserved back stable coin the term reserved back stable coin means a digital asset that a is a representation of currency issued by the United States or foreign government B rests on a blockchain or decentralized cryptographic ledger and C is collateralized on a one-to-one basis by such currency and such currency is deposited in an insured depository institution and number 10 smart contract this term smart contract means a computer protocol intended to a to digitally facilitate verify or enforce the negotiation or performance of a contract and B to allow the performance of credible transactions without third parties eleven synthetic stable coin the term synthetic stable coin means a digital asset other than a reserved back stable coin that a is stabilized against the value of a currency or other asset and B rests on a blockchain or decentralized cryptographic ledger section three establishing areas of primary regulatory oversight for digital assets a crypto commodities the Commodity Futures Trading Commission shall be the primary government agency with the authority to regulate crypto commodities B crypto currencies and Secretary of the Treasury acting through the financial crimes and for that Network and the Comptroller of the currency shall be the primary government aid disease with the authority to regulate cryptocurrencies other than synthetic stable coins see crypto securities the Securities and Exchange Commission shall be the primary government agency with the authority to regulate crypto securities and synthetic stable coins section for registration and public lists of digital asset exchanges a crypto commodities the Commodity Futures Trading Commission shall require any exchange trading and crypto commodities to register with the Commission and shall maintain a public list of all such exchanges and B cryptocurrencies the secretary of the treasury acting through the financial crimes enforcement network shall require any exchange trading in crypto currencies other than synthetic sable coins to register with the seconder and shall maintain a public list of such exchanges see crypto securities the Securities and Exchange Commission shall maintain a public list of all registered national securities exchanges trading in crypto securities or synthetic stable coins section 5 availability of information to the public on requirements to create or trade in digital assets each primary federal digital asset regular shall with respect to digital assets over which is a primary federal digital asset regulator shall make available to the public and keep current a list of all federal licenses certifications or registrations required to create or trade in digital assets section 6 requirements related to crypto currencies a tracing of transactions notwithstanding section 3 see the secretary of the treasury acting through the Financial Crimes enforcement Network shall issue rules to require each crypto currency including synthetic now this ones including synthetic sample coins to allow for the tracing of transactions in the cryptocurrency and persons engaging in such transactions in a manner similar to that required of financial institutions with respect to currency transactions under subchapter 2 of chapter 3 of title 31 united states code and a wrap-up Reserve backs table coin audits the Secretary of the Treasury acting through the financial crimes enforcement network shall carry out audits of each reserve backs table coin to ensure that such stable coin is fully backed by currency issued by the United States or a foreign government in Trancy is transition rule for stable coins if an event including a dilution event technical hack inserted choice causes a reserve back stable coin to become a synthetic stable coin or a or for synthetic stable to become a reserve back stable coin the primary federal digital asset rate of the stable coin shall notify the issuer of the stable coin and the public of such transition so that is the proposed bill by Congressman Paul Gosar of Arizona so I just wanted to go over that with you you can see here again that US congressman revamps her proposal to legitimize Bitcoin and other Kryptonian jump on this become signatories to this bill Republicans and Democrats to kind of get some bipartisan is to to kind of propel this forward through a committee hearing to eventually get to the floor of the house over to the Senate and to the President to sign so we get some regulatory clarity in the cryptocurrency space we need it and this is a good step forward so let me know in the comment section below what you think of proposed regulations again I'll put in the comments section below the links that I did to other videos talking about proposed bills here in 2020 and as always put any comments about anything crypto really in the comment section as I respond to all comments and I like getting a nice little crypto discussion going with that said hopefully you liked this video if you did please smash that thumbs up button it really helps out the channel thank you very much it helps out there YouTube and Google algorithms as well and if you're already subscribed to the channel thank you very much a deeply appreciate if you're not a subscriber yet hopefully you've seen value in this I would be honored with your so description of the channel so thanks again for tuning in to the cryptocurrency portal and I'll talk to you real soon [Music] you

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