This week, many investors are once again focusing on crypto regulatory news. As the US government really begins to move its infrastructure for the digital asset market, we have had several regulatory updates. A particularly positive update? The US Department of Commerce has opened up to public comment ahead of its recommendations on crypto competitiveness.
Cryptographic infrastructure is certainly an all-in-one procedure, thanks to President Joe Biden’s executive order. The decree, laying the foundations for a “responsible development” of the industry, calls several organizations to action. It also forges many multi-organizational task forces that are to provide Congress with the educational resources it needs to write cryptography legislation.
Much of the recent discussion around these regulations relates to the stablecoin provisions set out in the ordinance. In particular, the collapse of TerraClassicUSD (USDC-USD) is now helping the US understand what went wrong – and how they can implement this knowledge into their specific stablecoin laws. Last week, a White House official said US stablecoin regulations could be ready by the end of the year.
Meanwhile, members of Congress are rolling out their own bills on general crypto regulations. The most high-profile of the group is that of Senator Cynthia Lummis, a crypto bull who investors say has a strong view on government crypto oversight.
Crypto Regulation News: Commerce Department Partners with Digital Asset Firms
These stories show that discussions about crypto regulation have rapidly escalated in recent weeks. But investors are mostly seeing evidence of increased momentum with today’s crypto regulatory news regarding the US Department of Commerce working with industry leaders.
In May, the department sought feedback from crypto-related institutions in an effort to help develop a framework for industry competitiveness. Today marks the end of the period during which companies could submit their comments. Now that this period is over, the department is moving to the next stage of the process.
Eight entities sent comments to the ministry. For instance, MasterCard (NYSE:MY) sent a lengthy 16-page report on the matter. Other commentators include the American Bankers Association (ABA), the Proof of Stake Alliance (POSA), and the Independent Community Bankers of America (ICBA).
The US Department of Commerce is now tasked with developing strategies for the nation to be globally competitive in the crypto market. This includes a plan to remove barriers to competitive development. It will also discuss ways in which the country can leverage its existing financial institutions to achieve this goal. The department is tasked with presenting its strategy by September 5.
As of the date of publication, Brenden Rearick has not held (directly or indirectly) any position in the securities mentioned in this article. The opinions expressed in this article are those of the author, subject to InvestorPlace.com publishing guidelines.