Regulations

Money transmission laws not a must for all U.S cryptocurrency companies, new bill suggests

Cryptocurrency companies seeking to enter the U.S cryptocurrency space have been having a hard time since they have to abide by the money transmission laws.

But according to lawmakers in the United States, this should not be the case for all cryptocurrency companies. One of the lawmakers, Representative Tom Emmer, has brought back a bill that will see cryptocurrency companies exempted from some of these money transmission laws.

According to Emmer, the laws should not apply to those firms that do not provide crypto storage services.

The bill seeks to:

Provide a safe harbor from licensing and registration for certain non-controlling blockchain developers and providers of blockchain services.

Being a re-introduction of a previous bill, the chances of it being passed is a bit higher considering that it now has bi-partisan support and Emmer is a member of the Financial Services Committee which will discuss the bill. The bill will also be referred to the Committee of the Judiciary “for a period subsequently determined by the Speaker.”

Emmer seems to be interested heavily in blockchain and cryptocurrencies seeing that he has an array of bills he hopes to introduce all geared towards cryptocurrencies and the technology that underpins them. Emmer is also among the list of lawmakers in the United States that are strongly pushing for lenient laws to govern the blockchain and cryptocurrency fields in the country.

Previously, Emmer and other lawmakers had sent a letter to the CFTC and the SEC stating that:

The US should be the home to this innovation [blockchain] and should embrace these new technologies. In order for these efforts to be successful, it is imperative that we adopt a deliberate, flexible and unified approach to regulation.

Do you think cryptocurrency companies should be governed by different laws than those governing traditional markets?

Let us know your thoughts in the comments section below.

coinmag

Philip is an experienced blogger keen on staying updated with trends and news surrounding the blockchain and Bitcoin space. With several years of freelance experience in various industries, Philip brings his knowledge and experience into the crypto space.

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