Tom Emmer’s Bill Provides Regulatory Clarity for Blockchain Industry

• Representative Tom Emmer has introduced a new bill, the Blockchain Regulatory Act (BCRA), to provide regulatory clarity for the blockchain and cryptocurrency industry.
• The BCRA proposes that blockchain developers and service providers who do not hold or manage consumer funds should not be considered money transmitters subject to “stringent” regulation.
• The BCRA is a bipartisan bill co-led by Representative Darren Soto of Florida, supported by members of both political parties.

Tom Emmer Introduces Blockchain Regulatory Act (BCRA)

Member of the US House of Representatives and Majority Whip Tom Emmer has recently introduced a new bill to provide regulatory clarity for the blockchain and cryptocurrency industry. The bill is called the Blockchain Regulatory Act (BCRA).

Purpose Of The Bill

According to Emmer, the purpose of this bill is to establish legal clarity for blockchain developers and service providers who do not hold or manage consumer funds. The bill proposes that these entities should not be considered money transmitters subject to “stringent” regulation.

Bipartisan Support

The BCRA is a bipartisan bill co-led by Representative Darren Soto of Florida, supported by members of both political parties. This support increases the chances of the bill passing through Congress.

Benefit To Crypto Industry

Jerry Brito, the Executive Director of Coin Center, argues that effective cryptocurrency policy requires regulatory frameworks that are “tailored” to the specific activities that present risks that need to be mitigated. Brito believes that the Blockchain Regulatory Certainty Act affirms that non-custodial blockchain activities like mining or providing wallet software should not be subject to the same regulations as custodial cryptocurrency exchanges. Brito claims that it should be provided legal clarity and reinforce the understanding already established in the crypto industry. By recognizing these differences, there could potentially be an increase in innovation while reducing “unnecessary regulatory burdens” on businesses operating within this space.

Conclusion

The proposed Blockchain Regulatory Act offers an opportunity for clear guidance on how entities operating within this space can adhere to existing regulations without stifling innovation or competition within this rapidly evolving sector. If passed, this legislation has potential implications which could shape future regulation in other countries as well as help promote growth in what is becoming a global industry