Tuesday, 6 February 2018

US Senate Meets To Discuss Crypto

It was quite a nervous day, a meeting by the US Senate happened today and believe it or not it was not doom and gloom, if anything it was actually pretty good news. As you can see from the video above which a lot of people classed as one of the more important parts of the meeting there was some real thought put behind what blockchain technology could really be used for

Some of the key points so far

  • The regulatory offices have a hiring freeze right now, so budget is very constraint (suggests no need to create a department just for crypto regulation/enforcement).
  • They already have a team in place, made of economists and technology specialists, which are researching crypto and already made progress on preventing scams. Suggests it's enough for now and further regulation is not necessary.
  • Main issue are ICOs and scams. The chairmen said they are working together on preventing scams and have already enforced non-crypto related laws in this regard.
  • Bitcoin should not be considered a security, but rather a commodity, one of the chairman even refers to the term HODL and what it stands for, says it's used primarily as a store of value. Says his 30-year old niece holds Bitcoin.
  • When asked about whether there's an intrinsic value to BTC, one chairman said that while he can't understand the details, there seems to be intrinsic value linked to the underlying technology of Bitcoin, not just market demand.
  • Blockchain and cryptocurrencies are linked and strict regulations on crypto could stomp tech progress.
  • Crypto has an utility on a larger scale and not just for trading.
  • The crypto market is very small scale and needs time to develop, to see if regulations are in fact needed.
  • On educating potential investors, chairmen say the crypto community is educating itself and understand the risks (they say the community goes to libraries to research Bitcoin).
  • One senator talks about the recent Coincheck hack. Chairmen replies that their authority is limited, since foreign exchanges could be used. It's a gap, but it doesn't fall under SEC/CTFC regulation

Source ToothFairyTea reddit

I will try and get a full write up when I can of more key facts that were discussed, but I think it was surprising to everyone how much they embraced the future of crypto without stamping huge regulations on it. We all want to get rid of scams and ICO's that never come to release after taking huge amounts of crypto.

Trust me after all this fud, it is looking very promising

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