Blockchain software firm Consensys is begging for clear crypto regulations in an open letter to the next US President.
In the letter, Consensys says regardless of who wins the upcoming presidential election, the path the government is currently taking toward regulating the crypto industry – which includes taking enforcement actions against law-abiding companies – is wrong.
“There is nothing more crucial to a flourishing crypto ecosystem than a clear and workable regulatory framework defining how intermediaries that engage with customers operate. Yet, in contrast to the rest of the Organization for Economic Co-Operation and Development (OECD), clear executive action has proven elusive in the United States.
In its absence, companies and developers have been left in the dark, required to defend the lawfulness of their livelihoods in response to ad hoc enforcement actions when they would gladly abide by well-defined rules and regulations.
Working with Congress, the next administration and its relevant agencies must provide – with clarity and finality – pathways for legitimate participation in the Web3 ecosystem.”
According to Consensys, the government should release clear guidelines for the industry to avoid excessively targeting good actors in the space, provide financial security for consumers, and incentivize innovation in the industry as a means of not falling behind other nations.
“The next president must do everything in his or her power to encourage Web3 technological development, including by fostering opportunities for research and development, reducing unnecessary bureaucratic hurdles, and investing in infrastructure to support its evolution.”
In June, the U.S. Securities and Exchange Commission (SEC) sued Consensys, claiming that its Metamask wallet was acting as an unregistered securities broker.
At the time, the SEC alleged that Consensys failed to register the wallet with a securities broker as well as engaged in the sales of securities for crypto staking protocols Lido and Rocket Pool.