Congressman Tom Emmer who is known for his crypto favouring stance has recently called for a major change for the blockchain industry. He called for limiting the authority of Securities and Exchange Commission over crypto markets.
He plans to bring suitable amendments on the matter to limit the ability of SEC from deploying virtual currency funds. On this account, the whip has stated that the federal agency has abused its privilege.
He posted on X regarding the distasteful regulatory by enforcement approach from the SEC officials. He retained that Gary Gensler has abused his position as the head of the regulatory agency at the expense of the citizens of the nation. He further added that the commission should be barred from misusing taxpayer dollars on bringing hefty lawsuits against digital currency enterprises.
He claimed in a thread that he is sponsoring suitable amendments to restrict SEC from using of national funds on virtual assets. In the meantime, SEC has continued to bring lawsuits after lawsuits against crypto entities.
A June report published by Reuters has revealed that SEC has brought around 130 lawsuits against SEC. The majority of the lawsuits consist of allegation against various crypto companies and token projects for acting as or issuing unregistered securities.
Some of the major crypto firms such as Coinbase and Binance.US are still dealing with the lawsuit against the regulatory agency. Other major firms to deal with the matter are namely Ripple Labs and Genesis Global Capital, a subsidiary of Binance that was offering crypto lending services and have now gone bankrupt.
The regulatory action from SEC has drawn criticism from various analysts and key crypto figures. Many have claimed it to restrict the development and growth of the crypto space. Congressman Emmer has retained that he intends to become crypto ally and shared plans for Financial Services and General Government appropriation for 2024.
The amendments will bar SEC from overreaching its authority over crypto assets. If the amendment is passed, it will be directed towards bringing clear and precise cryptocurrency regulations for the space.
Congressman Calls for Defined Digital Asset Regulations
In addition to restricting the enforcement action against blockchain sector, the House Majority Whip has also called for bringing regulatory clarity for the sector. He has remained a vocal advocate for development and advancement of crypto projects.
In May, he joined forced with Representative Darren Soto to introduce the bipartisan Securities Clarity Act. This bill deals with the regulatory intricacies of issuing a legal definition for virtual assets.
He has sponsored Blockchain Certainty Act. This is also a bipartisan bill that can enable developers and service providers to get a listing as non-money transmitters. The grounds for the qualification are not offering custodial services for the client funds or asset holders. This bill is applicable for blockchain networks, stablecoin issuers, and NFT minting services.
Another bill he has sponsored is SEC Stabilization Act. This bill seeks to replace Gensler as the head of the regulatory agency and bring legislative reforms to the governance of the federal agency. On the other side of the hemisphere, the Senate of Australia has proceeded to reject a crypto regulatory bill directed towards regulating the local trading platforms.