US senators revisited the cybersecurity bill to include cryptocurrencies. The lack of regulation is certainly one of the reasons that have allowed the world of cryptocurrencies to develop at such rapid growth. However, while the lack of regulation is for many one of the greatest attractions of the cryptocurrency market, it is also the source of many problems.
There are several types of problems related to cryptocurrencies today, such as cyber-attacks, high volatility, and also money laundering. A situation that has apparently prompted legislators around the world to focus their attention on this booming sector.
Also, almost all jurisdictions have designed and implemented new regulatory frameworks dealing with digital assets during this period. Among the countries to have taken the initiative is the United States.
Bill to connect crypto businesses with government institutions.
Cynthia Lummis and Marsha Blackburn, state senators from Wyoming and Tennessee respectively, recently proposed a new bill in the US Senate. This bill seeks to amend the Cybersecurity Information Sharing Act 2015. Its original role was to reduce criminal activity in the field of cryptocurrencies.
Under the new law, cryptocurrency businesses will now be able to report any cyber threats they face. So, as soon as the bill is passed, any company whose development is focused on cryptocurrencies will be able to report cyber threats directly to government agencies.
These crypto-enterprises will therefore benefit from the help of government authorities when they are confronted with any situation of data breach, exploitation, or ransomware attack. By reporting suspicious entities directly to law enforcement, companies will be able to significantly reduce the risk of a scam that has only been growing for the past few months.
The cryptocurrency world is plagued by repeated attacks.
Several reports made by different analysts clearly indicate that crimes related to cryptocurrencies have seen a huge increase in recent months.
According to the report by blockchain research and security firm, Certik, more than $2 billion was stolen in the second quarter of 2022 in cryptocurrency-related phishing attacks. The report mentions around 206 cases of phishing attacks compared to 106 cases in the first quarter, an increase of 170%.
Another study recently conducted by the cybersecurity experts of PrivacySavvy gives more precision. According to analysts, although phishing is a relatively old tactic, it is still one of the most effective and widely used cyberattacks in the world today. The majority of Internet users have already been victims of phishing attacks at least once in their life.
However, the authorities seem to want to intervene today. Thus, unlike many other legislators whose intention was to outright ban the use of crypto-currencies, Senator Lammus preferred to adopt another method. He then chose to formulate better legislation on cryptocurrencies and has been focusing on the sector since last year.
In June, he teamed up with Senator Kirsten Gillibrand, Democrat of New York State, to propose a bipartisan cryptocurrency bill. This law, composed of 61 pages, was intended to develop guidelines aimed at regulating the use of crypto-currencies and their sub-sectors, including policies for the backing of stablecoins to tax obligations on transactions. crypto.
What is the opinion of US senators on cryptocurrencies?
While the majority of players in the cryptocurrency world consider regulation to be bad for innovation and the decentralized nature of cryptos, others disagree.
Nevertheless, it is very clear that as the cryptocurrency industry continues to grow in the open, more and more voices are being raised to assert that there is a need for increased transparency and to establish frameworks for monitoring digital assets.
This is a position shared by most US regulators today. Indeed, while the latter did not attach much importance to the market a short time ago, they have now changed their minds and are campaigning for the implementation of a regulatory framework for cryptocurrencies.
More new laws
With this in mind, US lawmakers have drafted new laws aimed at bringing more transparency to blockchain-related transactions in part, but mostly to prevent illegal crypto operations as much as possible.
Through the executive order to develop comprehensive policies for the digital asset industry issued by Joe Biden, President of the United States, cryptocurrency exchanges will have to comply with anti-money laundering obligations. money and the fight against the financing of terrorism.
However, not all US senators are against cryptocurrencies. Indeed, to encourage wider adoption of cryptocurrencies, some US senators have attempted to pass a bill through the Senate to exempt cryptocurrency transactions of up to $50 from taxes. This bill came about with the help of Republican Senator Patrick Toomey in conjunction with Democratic Senator Kyrsten Sinema.
The cryptocurrency industry will sooner or later need regulations worldwide. The SEC is focusing more and more on the subject, as is the European Union with MiCA.
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