Lost! In this cryptocurrency innovation competition, the United States is too late.

Just as US lawmakers racked their brains about how to deal with Facebook's Libra, they were forced to face another bitcoin, the digital currency they had been trying to avoid. Unfortunately, the longer the lawmakers wait, the more cryptocurrency innovations are moved to other places, and the more the US is left behind. Even Facebook chose Switzerland for Libra.

“Thanks to the chairman @RepMaxineWaters, senior member @Patrick McHenry, and other members of the House Financial Services Committee today spent so much time discussing Libra. We will take the time to do this. – Facebook Calibra head David Marcus (@davidmarcus) July 17, 2019"

Bald-eagle-140793_1280

Brian Kelly, the cryptocurrency fund manager, is worried that it may be too late. He pointed out on CNBC that while traveling around the world, he could not help but notice that "other countries are far ahead of the United States." He says:

"The United States may have lost this game… This makes me very worried. Asia is eating into the American lunch. The United States is the financial center. We should take the lead in this regard."

He may be right. Although Libra’s hearing forced Congress to face the “cryptocurrency” issue, policymakers apparently did not change their old market strategies. How do they plan to establish a regulatory framework for the industry? Of course, by establishing more committees and working groups.

“The Bitcoin ecosystem will inevitably continue to grow and contribute to the economy. The question is: Where?

'Inconsistent treatment makes it difficult for companies to decide how to operate within the existing regulatory framework in the United States. ——@Melt_Dem'”

Encryption committee carries heavy responsibility

Melin Demirors, CoinShares' chief strategy officer, testified today at the US House Financial Services Committee, where she personally helped legislators distinguish Facebook's cryptocurrency and bitcoin. She told CNBC:

"What you see in the House of Representatives today is… The legislators are trying to understand what Libra is? No one really understands. Libra wants to be a cryptocurrency. This is the style of Facebook."

Demirors pointed out that "cryptocurrency will not disappear", pointing out that the total market value of the encryption market is $266 billion. Demirors describes an environment in which parliamentarians are prepared to provide a degree of regulatory transparency to the market. She quickly separated the cryptocurrency from Libra, essentially putting them in two different buckets.

As for regulation, Demirol seems to be encouraged.

“Members are very clear that the United States needs to remain competitive and the clarity of regulation is very important. I think it is too early to say whether it will implement new regulations. I do think that we will set up a committee to focus on cryptocurrencies. The problem may be to set up a subcommittee to focus on Libra's problems."

If this is the case, then why should Washington, DC continue to follow the old path of the Commission? This seems to be the answer to anything they want to gamble – to form a new team, but so far has not achieved much. But the good news is that Bitcoin is now known all over the world. What will happen next, at least in terms of the role that the US will play in the use of Bitcoin, will lay the groundwork for the coming decades.

We will continue to update Blocking; if you have any questions or suggestions, please contact us!

Share:

Was this article helpful?

93 out of 132 found this helpful

Discover more

Blockchain

What are the chances of decentralized exchanges completely replacing Binance and Coinbase?

This article will compare three common centralized trading features and contrast them with their decentralized coun...

Blockchain

DeSpread Research Data Analysis of Centralized Exchanges and Investor Behavior in South Korea

According to a survey by the Korea Financial Intelligence Unit (KoFIU), it is expected that the number of cryptocurre...

Blockchain

Million-Dollar Shuffle FTX Cold Wallets Sneak $19M in Solana and Ether to Crypto Exchanges

FTX debtor group responsible for asset management has recently conducted multiple on-chain transactions.

Blockchain

Behind Alipay and WeChat Joint "Sniper" Coin: Competition in cryptocurrency stocks

Text | Mutual Chain Pulse · Liang Shan Hua Rong Zhao Changpeng and He Yi did not expect that the road to returni...

Blockchain

Coinbase UK's 2018 net profit margin was 4.3%, up 2 points from 2017

Do you think Coinbase makes money? On April 18, according to Cindesk , according to Reuters speculation and calculati...

Blockchain

Featured | Messari Founder: Recent Frustrations and Hopes in the Industry; Innovations in the Bitcoin Technology Stack

Today's content includes: 1. Founder of Messari: the recent frustration and hope of the industry; 2.Innovation i...