United States House representative and Republican party chief whip Tom Emmer presented a bipartisan bill on 23 March to regulate blockchain and crypto. The bill, named the Blockchain Regulatory Act (BCRA), aims to reduce confusion among stakeholders and provide more clarity on blockchain management. According to Emmer, the existing definitions are too vague and do not provide clear direction on blockchain technology.
The BCRA clarifies that service providers that do not have custody of funds cannot be considered money transmitters. The bill is supported by both parties and aims to strengthen digital asset management frameworks in the United States. Democratic party member Darren Soto also expressed his support for the bill, calling it “a step in the right direction policy-wise and provides helpful regulatory clarity for innovators in the ecosystem.”
It will help reduce the confusion created by different existing laws among miners, wallet providers, and other related stakeholders. Emmer has been vocal in advocating for better digital asset management regulation for a long time. In February, he introduced the CBDC Anti-Surveillance State Act to prevent unelected bureaucrats from issuing central bank digital currencies (CBDCs) that revoke the financial privacy rights of US citizens.
Emmer recently voiced concerns over CBDCs, calling them a “struggle for power” between the government and its citizens. While some believe that CBDCs could enhance financial inclusion and lower costs for consumers, Emmer warned against the idea that the US would lag behind other countries that are creating their own CBDCs.
The BCRA has a high chance of approval in the House as it is a bipartisan bill, with representatives of both parties expressing their willingness to pass it. If approved, the BCRA would be a big step forward in blockchain management in the United States.