Riding The Wave News Summary #39
Sen. Lummis teases upcoming crypto bill, says NFTs won’t be included in it, SEC Crypto Team Getting 20 More Officials in Bid to Crack Down, & more
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Sen. Lummis teases upcoming crypto bill, says NFTs won’t be included in it
SEC Crypto Team Getting 20 More Officials in Bid to Crack Down
Record-high surge in Ethereum Name Service domains triggers 90% rally in ENS
Bored Ape Ethereum NFT Price Drops 32%, Down $135K Since Last Week
Tweets
Sen. Lummis teases upcoming crypto bill, says NFTs won’t be included in it
The bill, which Lummis is expected to introduce along with New York Democrat Kristin Gillibrand, is designed “so that it works within the traditional framework for managing and regulating traditional assets,” Lummis said. It will divide cryptocurrency oversight between the Commodity Futures Trading Commission (CFTC) and the Securities and Exchange Commission (SEC). Oversight of crypto assets will be given to the SEC “when something fits within the Howey Test that makes it a security,” Lummis said, referring to the 1946 Supreme Court decision on the definition of a security.
Regulations must also address altcoins and consumer confidence, Lummis said, adding they need to "allow regulators to separate the wheat from the chaff in the space." This will make it possible to use crypto for payments and integrate the asset class into 401(k) retirement savings packages, she said.
The Wyoming senator indicated she was confident the bill would pass, as “digital assets are nonpartisan.”
Lummis mentioned that the bill touches on a central bank digital currency (CBDC) without going into detail. Environmental issues will not be addressed in the bill, nor will nonfungible tokens (NFTs).
I’m excited to see a proposal come out as it will hopefully get the ball rolling, even if it doesn’t make its way through immediately. The current cross-partisan nature of the bill is great although I am still concerned for the long term about whether crypto will remain non-partisan or end up becoming associated with a political party.
SEC Crypto Team Getting 20 More Officials in Bid to Crack Down
The U.S. Securities and Exchange Commission is adding 20 more officials to a team dedicated to policing crypto markets, the latest move by Wall Street’s main regulator to crack down on digital tokens that may run afoul of its rules.
The additions will bring the SEC’s Crypto Assets and Cyber Unit to 50 people, the agency said Tuesday in a statement. The focus of the expanded enforcement group will include virtual-currency offerings, decentralized finance and trading platforms, as well as stablecoins, according to the regulator.
With how fast crypto develops the government will need to continue to make aggressive moves, like this one, to keep up.
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