Washington, the US capital, witnessed a historic period in the cryptocurrency sector this week. During this period, dubbed “Crypto Week,” two important bills voted in the House of Representatives could pave the way for the establishment of the much-anticipated legal framework for digital assets.
Genius Law: Stub Coin
The Genius Act, a ridiculous bill that has already passed the Senate, will be voted in the House on Thursday. If passed, it marks the first time in US history that independent cryptocurrency regulations have been enacted.
The Trump administration supports this process. The House has taken up the new version after President Donald Trump called for a true social after abandoned the previous version.
Clarity: Cryptocurrency Status
However, the industry’s biggest hope lies in the Clarity Act, a bill that clarifies whether digital assets are securities or commodities. The bill aims to clearly divide regulatory powers between the Securities and Exchange Commission (SEC) and the Commodity Futures Trade Commission (CFTC).
The bill is scheduled to vote in the House on Wednesday and is expected to pass after passing the committee with bipartisan support. But progress in the Senate is less clear. Democrats are wary of the bill for Trump family’s crypto investment.
Georgia Sen. Rafael Warnock, despite his support for the genius, said “Trump’s crypto corruption is destroying the digital asset market,” but showed no same commitment to clarity.
Coinbase aims to strengthen its support for the Clarity Act, and has distributed nearly 5,000 chocolate bars throughout Washington to highlight the importance of the law. The company noted in packaging that almost a fifth of Americans own cryptography, according to a morning consultation survey.
Coinbase, Ripple and other crypto companies are urging Congress members to support them, claiming that a clearer regulatory framework will boost investors’ trust. “Consumers want to know what they are obsessed with when buying and selling these assets and using trustworthy intermediaries,” said Kara Calvert, Coinbase’s vice president of US public policy.
The Senate is preparing to implement its market structure regulations this month, unlike the House version. Republican Sens. Tim Scott and Cynthia Ramis are working on legislation, while Democrat Sens. Kirsten Gillibrand will support it with a bipartisan approach.
“There’s a lot to do and I’m going to work in a bipartisan way next month,” Gilibrand told CNBC.
Legislation banning CBDC
Another important item in the crypto industry is another bill that would ban the Federal Reserve from issuing digital dollars (CBDCs). The bill is expected to be passed by the House of Representatives on Wednesday.
Blockchain Association CEO Summer Mersinger expressed his support for the bill, saying, “If this is what the private sector should do, the government should not be a competitor.”
*This is not investment advice.
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