Opinions: Senators Tim Scott and Senators Cynthia Ramis
The US Congress has recently taken a major step towards regaining US leadership in financial innovation. We passed, President Trump signed it, and the bipartisan genius law passed. This is a groundbreaking bill that will establish the first federal framework for payment stability.
This is a milestone in consumer protection, national security and America’s competitiveness, and is evidence that principled leadership can still deliver real results.
America has always led the world in finance as it embraced innovation, rewarded wise risk takers and built the world’s most dynamic capital markets. In recent years, its leadership has been undermined by the onslaught of Washington’s own regulations, not its foreign competitors, particularly when it comes to digital assets.
Previously Failed Approach
By using enforcement regulations instead of a clear regulatory framework, the Biden administration has halted fiscal progress, plunged the industry into uncertainty and sacrificed legal costs for tens of millions of people.
The Securities and Exchange Commission “rewards” well-intentioned entrepreneurs with enforcement action, leading to a prolonged legal battle that entrepreneurs had to play against regulators rather than focusing on innovation. This failed approach has transformed US innovation into a legal minefield. There, the penalty for guessing the wrong thing was not only bankruptcy, but also federal accusations.
Related: US Senate Republicans Release Draft for Crypto Market Structure
This is an intergenerational government medical malpractice and a crisis in our own work.
Other countries see America’s absence as an opportunity to lead. The UK is working to make that mark with digital assets. Japan – traditionally carefully – has created digital asset frameworks in the hopes of attracting international businesses.
Meanwhile, the US has not officially established whether many digital assets are products or security. American businesses should promote prosperity at home rather than fleeing to foreign markets like Singapore or Switzerland. Fortunately, the US can straighten the ship with a solution as simple as establishing regulatory clarity.
Prioritizing innovation
We have released a discussion draft to provide investors and the digital asset industry with the certainty that is worthy of ensuring this important industry will innovate in the American soil. This is an important step in driving market structure legislation and strengthens the US’s position as a global leader in financial innovation.
The digital asset revolution is rewriting fiscal rules, whether or not the US is involved. We have the ability to become architects of progress or be bound by decisions from other countries. The United States can continue to be paralyzed by anxiety. Or I remember that the country was founded on the basis of bold and ambitious actions.
This is the moment that will shape the US financial system for future generations. It’s best not to waste it.
Opinions: Senators Tim Scott and Cynthia Ramis.
This article is for general informational purposes and is not intended to be considered legal or investment advice, and should not be done. The views, thoughts and opinions expressed here are the authors alone and do not necessarily reflect or express Cointregraph’s views and opinions.
