The US has proposed reforming cryptocurrency legislation

The Digital Asset Working Group, created by President Donald Trump, has proposed new measures to regulate the circulation of cryptocurrencies in the United States.

The published report makes the following key recommendations:

1. Ban the issuance of central bank digital assets, i.e. the digital dollar, in the US;
2. Split the oversight of digital assets between the Securities and Exchange Commission and the Commodity Futures Trading Commission, with the former overseeing virtual currencies that are considered securities and the latter overseeing coins that are considered commodities, such as Bitcoin and Ethereum;
3. Allow banks to store digital assets and provide services related to virtual currencies;
4. Develop rules for taxation of activities using digital assets that take into account their specifics.

“Creating a rational regulatory framework for cryptocurrencies will serve as the best catalyst for innovation in America, strengthening investor protections from fraudsters, and making our capital markets the envy of the world,” said SEC Commissioner Paul Atkins in a statement.

Paul Atkins

It will be up to lawmakers to decide whether to follow the task force’s advice. Given that both chambers of Congress are controlled by the Republican Party, of which Trump is a member, it is safe to assume that many, if not all, of the recommendations will be implemented.

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