The representative said that the issue of cryptocurrencies is handled with doubts. Lawmakers question even whether digital assets are of any use.
Many congressmen in the United States of America do not understand how Bitcoin (BTC) or cryptocurrencies work, so there is a possible regulation coming soon. The Democratic deputy reported this news thanks to Jim Himes, who assured that the issue in the capitol is happening with many doubts and uncertainties.
The legislator explained that he is constantly approached by congressmen who openly show their ignorance on the matter, making questions about digital currencies. Among the questions the legislator gets from colleagues is knowing what the real benefit of digital assets is.
The legislator says in an interview with Yahoo Finance that most of his colleagues do not have a deep understanding of cryptocurrencies. So, for better or for worse, a legislation passed by the US Congress seems far from possible anytime soon, ”Himes said during an interview with Yahoo Finance.
The deputy pointed out that congressmen already know what is happening with Bitcoin and even see it as something highly positive. However, officials profile cryptocurrencies as instruments that serve as financial support for drug traffickers, human traffickers, and potential terrorists. Generally speaking, legislators want to know what the problems that cryptocurrencies could solve are.
On this point, Himes said that, from the congress, there are no clear intentions to forbid operations with cryptocurrencies. The representative even assured that there will be many discussions about Bitcoin in the coming years because congress needs to know how to regulate it or how to control it through taxes.
Audiences to Get to Know Bitcoin
The US Congress has led various hearings that have served to talk about the issue of cryptocurrencies and blockchains. The Capitol has become a place to discuss the implications that digital assets bring to the economy. Even Facebook CEO Mark Zuckerberg has been challenged by his Libra cryptocurrency project, later renamed Diem.
Since 2016, congressmen have proposed various resolutions related to Bitcoin. Lawmakers Adam Kinzinger, Republican of the state of Indiana, and Tony Cárdenas, Democrat of California, presented a proposal five years ago to develop a national policy that would promote the development of cryptocurrencies.
This issue that congressmen do not fully understand how Bitcoin works is not new. There is still a long political road to recognize BTC as a new asset type, something that investment banks such as Goldman Sachs have been doing.
Matthew McDermott, Global Head of Digital Assets at US bank Goldman Sachs, said that bitcoin (BTC) can now play the role of an investment asset. In this sense, he stressed that the cryptocurrency has its risk, but this happens because it is relatively new and is facing its adoption phase.
Regarding the regulation of cryptocurrencies, McDermott let the media outlets know that he does not think that this situation could pose any future risk. He said that a key concern is the inconsistencies in global regulations, which prevents the development of the crypto space or that more regulated entities get interested in it.
By: Jenson Nuñez
