Blockchain Leaders Call for More Regulatory Clarity in the US or Risk Businesses Leaving

The U.S. has been told that if it doesn’t get its head around regulation, potentially profitable blockchain businesses could head elsewhere.


Still Time to Be a Leader

Over 50 industry participants met yesterday on Capitol Hill for a roundtable discussion on the industry. Hosted by Representative Warren Davidson from the state of Ohio, it was an opportunity to discuss issues that have not been resolved.

Figureheads included those from Fidelity, Nasdaq, State Street, Andreessen Horowitz, and the U.S. Chamber of Commerce, reports CNBC. It adds that Davidson is preparing to implement a cryptocurrency bill later this year. One of the fears mentioned was that a lack of clarity or the U.S. cracking down too hard could see blockchain businesses taking their operations elsewhere.

Joyce Lai, a lawyer at blockchain software technology company Consensys, said:

The competition around the world is real. But there is still time and opportunity for the U.S. to be a leader here.

Davidson stated that the crypto bill is “not a cooked thing.” Rather it was an opportunity to listen to industry leaders to determine what should be included before it’s drafted. He added:

Legitimate players in the industry have a desire for some sort of certainty so we can prevent and prosecute fraud. I’m confident we can move forward and make this a flourishing market in the U.S. It’s an imperative for us to do, we did it well with the internet.

Blockchain Companies Flock to Malta

Malta is becoming a sweet spot for several crypto companies.

Crypto exchange Binance is one such organization that has set up office in the European country. As a result of crackdowns in Japan and China, Zhao Changpeng, founder and CEO of Binance, stated in March that it was relocating to Malta. Binance is also working with the country’s stock exchange to help grow the island’s fintech sector.

Due to attractive legislation, Malta is known as “the blockchain island” compared to other countries. However, if the U.S. wants to become a global leader in the sector, it may want to turn its attention to Malta to follow its lead. Rather than shun the industry, Malta is showing that with an open arms approach, it can attract the best companies to do business with.

What do you think of the meeting on Capitol Hill? Do you think it will help the U.S. change its position? Let us know in the comments below.


Images courtesy of Shutterstock.

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