- Congress members form a bicameral committee to develop a regulatory framework for the crypto.
- The main priorities of the Committee include the training of Stablecoin regulations and an overview of the possibility of a bitcoin reserve.
- Commissioner Hester Peirce, the new head of the Crypto working group, listed the upcoming changes in the SEC regulatory surveillance on the crypto.
At a press conference on Tuesday, several heads of government met to discuss the next stages of the trip for a better cryptographic environment in the United States, which implies the creation of a Bicameral Committee and the creation of stablecoin regulations for industry.
Meanwhile, Securities & Exchange Commission (SEC) has decided to reduce the size of its cryptography application unit, following an overview of the cryptographic regulations listed by its new head of the Hester Peirce Cryptographic Working Group .
The Trump administration leads to cryptographic regulatory support
The AI and the Crypto Tsar David Sacks, president of the senatorial banking committee Tim Scott, president of the financial services committee of the French Hill chamber, with other members of the congress present at the press conference of the digital assets, A Announced the training of a working group responsible for developing a regulatory framework for digital active and stablecoins.
The group, which will include key members of the Chamber and Senate committees, aims to establish clear guidelines for the regulation of digital assets.
The Committee will also continue to rely on financial innovation and technology for the 21st century bill (Fit21) in carrying out this task, emphasizing stablecoins.
According to Tim Scott, work on the regulation of stablescoin is already underway in the Senate. This follows the introduction of a new bill from Senator Bill Hagerty, which focuses on the purchase and establishment of national innovation in American stables (engineering) and defines the surveillance of stablescoin.
Senator Scott also mentioned that republican and democrats are working hand in hand to ensure that bills are adopted within 100 days.
Similarly, the crypto-tsar David Sacks said that its team would examine the possibility of a bitcoin reserve, but that they hold back because some members of the presidential working group are not yet announced.
Meanwhile, a recent report suggests that the SEC is preparing to reduce the size of a specialized unit of more than 50 lawyers and staff whose objective had applied cryptographic regulations.
Changes are part of the Trump administration plans to reduce the regulatory overhaul of the previous management, the New York Times reported for the first time.
This decision comes after the new chief of the crypto-work, Hester Peirce, shared updates on the planned approach to the Commission on the regulation of digital assets.
This includes examining the security state of several tokens to report gray areas outside the agency’s jurisdiction.
“If the Commission rejects the fraud outside our jurisdiction, it can refer the question to a sister regulator,” Peirce said in a press release on the SEC website.
These actions of the Trump administration reflect a broader desire to make cryptographic regulations more effective in the United States.
This stems from the president’s push so that the United States became a leader of the crypto, which has already led to several measures during its first weeks in power.
President Trump also signed two decrees that could advance the United States in cryptographic innovation, including the training of a stock of digital assets and the creation of a sovereign fund, which will likely include Bitcoin.
Bitcoin, Altcoins, FAQ stablecoins
Bitcoin is the largest cryptocurrency by market capitalization, a virtual currency designed to serve as money. This form of payment cannot be controlled by a person, a group or an entity, which eliminates the need for third -party participation during financial transactions.
Altcoins are all cryptocurrencies apart from Bitcoin, but some also consider Ethereum as non-altcoin because it comes from these two cryptocurrencies that the supply occurs. If this is true, then Litecoin is the first Altcoin, a worse of the Bitcoin protocol and, therefore, an “improved” version of it.
Stablecoins are cryptocurrencies designed to have a stable price, with their value supported by a reserve of the asset it represents. To achieve this, the value of a stablecoin is set for a product or a financial instrument, such as the US dollar (USD), with its supply regulated by an algorithm or a request. The main objective of Stablecoins is to provide an ON / OFF ramp for investors arranged to negotiate and invest in cryptocurrencies. Stablecoins also allow investors to store value because cryptocurrencies, in general, are subject to volatility.
The domination of Bitcoin is the ratio of Bitcoin market capitalization to the total market capitalization of all combined cryptocurrencies. It provides a clear image of Bitcoin’s interest among investors. A high domination of the BTC generally occurs before and during a bull race, in which investors resort to invest in a cryptocurrency of relatively stable and high market capitalization like Bitcoin. A decrease in the domination of the BTC generally means that investors move their capital and / or their profits to Altcoins in a quest for higher yields, which generally triggers an explosion of Altcoin gatherings.
