U.S. Congressman Jim Himes says Congress is unwilling to pass cryptocurrency laws anytime soon, citing a lack of deep understanding of cryptocurrencies among lawmakers. “In the coming years there will be a lot of discussion about how cryptocurrencies can be regulated,” said the congressman.
Crypto legislation isn’t expected by Congress anytime soon
In an interview with Yahoo Finance Friday, US Representative Jim Himes announced some discussions in Congress about cryptocurrency legislation. The Connecticut representative chairs the National Security, International Development and Monetary Policy Subcommittee of the House Financial Services Committee. Before that, he worked for the investment bank Goldman Sachs for 12 years.
His crypto comments came when the U.S. Treasury Department released a proposal requiring companies to report crypto transactions over $ 10,000 to the Internal Revenue Service (IRS).
Himes said Congress was unwilling to respond to crypto legislation anytime soon. “Most of my colleagues do not have a deep understanding of cryptocurrencies, what they can do, what the dangers are,” he described, emphasizing that “Congress did not spend a lot of time on it.” The legislator explained:
So, good or bad, there won’t be any legislation passed by the US Congress anytime soon.
“That means more and more of my colleagues are becoming aware of this,” he continued. Congress also has a pro-Bitcoin senator, Cynthia Lummis, who has vowed to show her colleagues in Congress that Bitcoin is a great store of value. She also plans to convince Treasury Secretary Janet Yellen to do so.
Congressman Himes described the atmosphere in Congress in connection with crypto discussions with reference to the recent statement by Nobel Prize winner Paul Krugman, which was published in the New York Times and was “relatively well characterized”.
Himes described: “Innovative ideas, that’s interesting, what does it actually do, what problem it solves.” Noting that the benefits for “drug dealers, human traffickers, [and] potential terrorists ”are pretty clear to him, he repeated,“ tell me what the other advantages are. “The Congressman noted,“ It’s kind of a general atmosphere in Congress where people say, ‘Tell me again what’s good about cryptocurrencies and what problem it solves. “
Nevertheless, Himes emphasized:
Don’t get me wrong, that doesn’t mean there will be an attempt to ban it.
He anticipates that “there will be a lot of discussions going on in the years to come about regulation, taxation, etc., etc. – all of these things that lead to government overlap with something like cryptocurrency.”
“In a larger frame of reference, the cryptocurrency accumulation, the gamestop bubble, robinhood, and SPACs, I could list 12 things for you that for the most part are not related to in-depth fundamental investment research, but rather to immense amounts of liquidity,” he added and noticed:
I don’t know that these things absolutely need to be regulated. I am not saying that.
“But it is very clear to me that there are a lot of people who believe trees grow to the sky and get very expensive education on what the downside of volatility is when we see some kind of bear market or some other kind of depression of asset prices. Many people will get very expensive education in this case, ”warned the congressman.
What do you think of Congressman Himes’ statements about cryptocurrency? Let us know in the comments below.
Photo credit: Shutterstock, Pixabay, Wiki Commons
Disclaimer of liability: This article is for informational purposes only. It is not a direct offer or an invitation to submit an offer to buy or sell, or a recommendation or approval of products, services or companies. Bitcoin.com does not provide investment, tax, legal, or accounting advice. Neither the company nor the author are directly or indirectly responsible for any damage or loss caused or allegedly caused by or in connection with the use or reliance on any content, goods or services mentioned in this article.