Crypto community hopeful about new Senate leader John Thune

As a seasoned analyst with over two decades of experience navigating the intricacies of financial markets and regulatory landscapes, I find the recent developments in the cryptocurrency industry, particularly the ascension of Senator John Thune as the new Senate majority leader, to be an encouraging sign for proponents of digital assets.

There’s optimism in the world of cryptocurrencies, as the Republican Party has chosen Senator John Thune from South Dakota as their new Senate majority leader in the U.S., as this could potentially bring more regulatory clarity to this field.

On November 13th, Thune emerged victorious in the competition for Senate Majority Leader, overcoming the candidate backed by Elon Musk, Senator Rick Scott from Florida.

In his speech following his victory, Thune expressed that we aim to revitalize America economically by simplifying the governmental system and repealing expensive regulations set forth by the Biden-Harris administration.

With Senator Thune voicing his eagerness to help enact President-elect Trump’s pro-cryptocurrency plan, the crypto community is optimistic that the incoming Senate leader will play a significant role in fostering cryptocurrency-friendly legislation within the United States.

Thune supported a bill to expand CFTC’s jurisdiction over crypto

It appears that there’s a belief within the crypto community that Senator Thune might support policies favorable to cryptocurrencies. Previously, he has expressed interest in broadening the authority of the Commodity Futures Trading Commission (CFTC) over cryptocurrency regulation, which could serve as an alternative to the approach taken by the U.S. Securities and Exchange Commission.

In the year 2022, Senator Thune endorsed legislation known as the Digital Commodities Consumer Protection Act (DCCPA). This bill was designed to expand the regulatory authority of the Commodity Futures Trading Commission (CFTC) in matters related to cryptocurrency regulation.

This legislation explicitly classified primary cryptocurrencies such as Bitcoin (BTC) and Ether (ETH) as digital assets. It emphasized that the Commodity Futures Trading Commission (CFTC) holds jurisdiction for their regulation, suggesting potential limitations in the Securities and Exchange Commission’s (SEC) oversight of cryptocurrency markets.

Supporters of cryptocurrency view this bill as a significant move towards gaining clear regulations in the crypto sector, acknowledging that it still requires additional refinements and explanations.

In May, Thune also supported a decision aimed at revoking the U.S. Securities and Exchange Commission’s Staff Accounting Bulletin No. 121 (SAB 11). This rule mandates that cryptocurrency custodians must list customer assets as liabilities on their financial statements.

New Senate majority leader “strongly supports crypto”

The support for this rule that Senator Thune has shown is emphasized by the advocacy group Stand With Crypto, who label him as a “strong advocate for cryptocurrency.

“He is very pro-crypto,” Fox Business journalist Eleanor Terrett said in a post on X on Nov. 13.

Despite Thune openly backing Trump’s goals, it should be noted that Trump himself remained neutral during the election for the position of majority leader, as per CNBC reports. Interestingly, Thune had voiced criticism against Trump during the 2016 presidential campaign.

Conversely, numerous supporters of Donald Trump, such as Elon Musk (CEO of Tesla), Tucker Carlson (conservative commentator), and Robert F. Kennedy Jr., have backed Mitch McConnell’s challenger, Rick Scott, in the race for Senate majority leader.

Previously, I had the privilege of collaborating with Senator Cynthia Lummis on a proposal aimed at permitting U.S. retirement plans to incorporate investments in digital assets such as Bitcoin.

2024-11-14 14:11

Thune supported a bill to expand CFTC’s jurisdiction over crypto

New Senate majority leader “strongly supports crypto”

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