The 117th Congress introduced 35 bills relating to cryptocurrency and blockchain policy this year. The year was a defining moment for the industry in the United States. There was far more emphasis on cryptocurrency regulation than in previous years. The majority of the bills dealt with cryptocurrency regulation in general. It also included blockchain applications and central bank digital currencies (CBDC).
The Congress is entering its second year, and attention is shifting to the midterm elections. Hence, U.S. Senators and Congress will likely pay close attention to how constituents respond to crypto in 2022.
3 Different Types of Bills Introduced
Congress introduced three different types of bills aimed at regulating cryptocurrency. The first set of bills is primarily concerned with regulatory agencies such as the Securities and Exchange Commission (SEC). The blockchain and distributed ledger technology bills aim to promote the technology that underpins cryptocurrency within the United States government for broader adoption in other sectors of the economy.
Finally, the new concept of CBDCs is still being explored. Some policymakers see technological innovations like stablecoins as a threat to the U.S. dollar’s position as the world’s reserve currency.
All three of these areas are equally important. However, one area that has received the most attention and received hearings on Capitol Hill. It is how the government should regulate cryptocurrencies and whether legislation is required.
2022 Will Face More Scrutiny
In 2022, the cryptocurrency market is predicted to enter a period of sustained growth. The world is rapidly adopting crypto assets, and we require a unified regulatory framework for the global crypto industry.
More bills of this type are expected as Congress focuses more attention and effort on the blockchain industry. The United States government has been slower to respond than other countries. However, this appears to be changing;for. For example, in the case of a CBDC, officials have stated that they would instead “get it right” than be the first to do it.
StableCoins are a Growing Concern
Stablecoins have been a particular source of concern for governments worldwide, not just in the United States. Senator Elizabeth Warren and Treasury Secretary Janet Yellen have expressed concern about fiat-pegged assets. Still, no official legislation has been passed in the United States to address the issue.
Gary Gensler, the Securities and Exchange Commission chairman, has outlined a list of potential tasks on the road to regulation. However, nothing significant is yet to be has yet been implemented. Although the SEC has been busy with ETF decisions, it is clear that the government will take some action next year.