The bipartisan bill on crypto regulation released on Tuesday already raises many a doubt in investors’ mind. At the centre of the bill’s recommendations is the plan to regulate various cryptocurrencies in separate categories.
Disclosure Needs To Kill Altcoins?
It proposes to bring crypto under the purview of the Commodity Futures Trading Commission (CFTC), instead of the Securities and Exchange Commission (SEC). The bill also plans to introduce strict registration and disclosure requirements on crypto companies. This could prove to be a huge roadblock for the existing altcoins.
Meanwhile, senators Cynthia Lummis and Kirsten Gillibrand are positive about the passing of the bill through all stages of jurisdiction.
Speaking on Fidelity’s announcement last month on allowing users to put their retirement funds in Bitcoin, Lummis said it was a wonderful idea. Bitcoin could play the role of a long term part of retirement funds, which helps in diversified asset allocation, she added.
“Investors need some assets as just a store of value and that is where Bitcoin shines. For that reason it belongs as a slice of the diversified asset allocation for retirement funds.”
