Consensys urges clear crypto rules in letter to future US president

As a seasoned analyst with over two decades of experience in the dynamic world of finance and technology, I find myself intrigued by the recent developments in the cryptocurrency sector, particularly the open letter from Consensys to the future US president.


In light of increasing political and economic strife, blockchain company Consensys has published an open missive aimed at the upcoming U.S. president, advocating for transparent and favorable guidelines concerning digital currencies and the Web3 realm.

The October 23rd publication emphasizes the importance of openness in decision-making regarding regulations, a requirement essential for maintaining global competitiveness, ensuring consumer safety, and tackling illegal activities.

ConsenSys’ appeal arises amidst a turbulent phase for the cryptocurrency industry, triggered by worldwide occurrences. At present, Bitcoin (BTC) is approximately worth $67,500, representing a decrease from its June high of over $70,000.

Plea for regulatory clarity

ConsenSys contends that unclear regulations in the U.S. are impeding progress in blockchain technology innovation. They emphasize the absence of a unified regulatory structure, even as there’s widespread use of decentralized systems worldwide.

As a crypto investor, I’ve noticed that the lack of clear regulatory guidance from authorities can lead to inconsistencies in how enforcement actions are carried out. This ambiguity might deter businesses and developers from innovating in the crypto space. According to Consensys, this is a concern we all should be aware of.

After a Texas federal judge dismissed the blockchain company’s lawsuit against the U.S. Securities and Exchange Commission on September 19, there is now an increased call for regulatory clarity.

Crypto and politics

The fluctuating value of Bitcoin has been mirrored by an increase in political involvement within the cryptocurrency industry. Notably, Chris Larsen, a co-founder of Ripple, recently donated 10 million dollars’ worth of XRP to Vice President Kamala Harris’ presidential campaign.

On October 21st, Larsen made public his donation to a Political Action Committee (PAC) which backs Democratic Vice President Kamala Harris, as stated in a post on X.

According to a post dated October 22nd, Jeff Park, who leads alpha strategies at Bitwise, forecasted that Bitcoin could potentially reach $92,000 if Donald Trump were to win the U.S. presidency in November.

US leadership implications for crypto

As the 2024 U.S. presidential election approaches within a few weeks, the topic of cryptocurrency regulation is gaining significant attention on social networking platforms.

Originally skeptical about Bitcoin, Donald Trump has since expressed support for cryptocurrencies. If elected, he plans to replace SEC Chair Gary Gensler and make the U.S. a leading force in the realm of digital currencies.

Regardless of the assurances made by the previous president, if ConsenSys’ caution about insufficient regulatory backing proves accurate, there’s a possibility that the U.S. might lag behind countries that have already adopted blockchain technology.

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2024-10-24 17:32