Senator Lummis of the United States of America will present a comprehensive Bitcoin law in 2022
Senator Cynthia Lummis of Wyoming, one of cryptocurrency’s most ardent champions in Congress, aims to introduce a comprehensive law next year that would handle everything from how digital assets are taxed and categorised to consumer protections.
Consumer protections, stablecoin regulation, and the establishment of a new organisation to supervise the digital asset market under the combined jurisdiction of the Commodity Futures Trading Commission and the Securities and Exchange Commission are all included in the bill, a senior aide told Bloomberg on December 22.
Additionally, if the measure is approved, it would offer clear advice to regulators on which digital assets belong to which asset classes.
Lummis is generally considered as a key proponent of cryptocurrencies, in which she also has an interest. According to papers [PDF], she admitted to making a Bitcoin purchase in the range of $50,001 to $100,000 earlier this year in October.
In November, the Senator said that Bitcoin is digital gold, reiterating his belief that the commodity is here to stay. “I believe that Bitcoin will endure. And I believe that many of the others are not; the fact that Bitcoin is completely decentralised and that some of these others were issued by a person or institution that retained a substantial block of the currency and then issued others to participate makes them seem to be a security rather than a commodity. Bitcoin is, without a doubt, a commodity. It is digital gold,” Lummis said.
Notably, an increasing number of politicians and government employees in the United States are experimenting with cryptocurrency. Lummis’ Wyoming website, for example, uses the Bitpay platform to accept Bitcoin contributions for campaign contributions, while former South Carolina governor John Warren launched a new Bitcoin mining company called GEM Mining just last week on December 15.
Overall, as one of the first efforts to create comprehensive laws for the fast growing cryptocurrency business, the bill faces an uphill battle in a Senate that is equally split on the topic, mostly along partisan lines. Senator Elizabeth Warren, for example, has raised concerns about Bitcoin mining operations, arguing that they contribute to environmental degradation.