Representative Tom Emmer presents bill to create security for digital assets
U.S. Congressmen tabled bipartisan bill on July 15 aiming to create a clear definition of assets like digital tokens and other emerging technologies, the report said.
Called Clear data protection, the bill was introduced by MP Tom Emmer (R-MN), MP Darren Soto (D-FL) and MP Ro Khanna (D-CA). This law aims to change the definition of a term that has been used for more than 75 years. The status of an asset sold as an “Investment Contract” becomes an “Investment Contract Object”.
According to the announcement, the measure will provide a solution for those who have met the current securities registration requirements or are eligible for an exemption. Once these requirements have been met, entrepreneurs can distribute their assets without any additional legal burdens.
“Regulators have an irrational approach to applying federal securities laws to transactions involving blockchain-based token sales and a lack of clarity. This harms American innovation. Between regulation through enforcement and various legal decisions to classify these assets, regulatory Uncertainty hinders the development of blockchain technology and prompts many to move the technology abroad. “
According to the representative, the Securities Clearance Act should be a technology-neutral bill. It applies equally to all assets, whether physical or digital, and states that assets from investment contracts, such as digital tokens, are segregated and segregated from the offering that they can offer.
MP Soto stated:
“As Congress works to protect those who invest in this technology, the Securities Clarity Act will add important definitions and jurisdictions to create security for a digital asset market. High digitization in the United States. This is an important one first step to drive innovation and maximize the potential of virtual currencies for the US economy while protecting the financial well-being of customers and investors. “
Emmer has raised concerns about regulating Americans who have historically benefited from cryptocurrencies. Speaking at a hearing for the US House of Representatives Financial Services Committee in June, Emmer said:
“In the past few years I have been fortunate to meet a lot of great crypto and blockchain innovators. A common refrain in our discussion was that they wanted to develop their crypto and blockchain ideas right here in the United States. But they’re not because of the ongoing uncertainty surrounding crypto regulation. “
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The bill comes a day after Federal Reserve Chairman Jerome Powell spoke to the House of Representatives about the need for tighter regulation of stablecoins.