The US House of Representatives is critical of the White House. According to a group of US politicians, the Biden administration’s approach to crypto is a threat to the fledgling industry. In a new memo the House of Representatives writes that it is a thriving $1 trillion industry.
An emerging industry
In the memo, the House of Representatives writes mostly positively about the crypto industry. “Today, the total digital asset market is worth about $1.06 trillion, with Bitcoin and Ether accounting for about 60 percent. The digital asset ecosystem, while in its infancy, includes a broad palette of companies and operations that leverage distributed ledger technology,” said the House of Representatives.
Now that industry is at risk, according to politicians in the House of Representatives, because the Biden administration has developed a lot of strict regulations in the past two years.
The Republicans who wrote the letter are calling for cooperation between authorities and asking lawmakers to set clear guidelines for the industry. “Many of the actions of the Biden administration are characterized by an overreach of the powers originally granted,” it continues. According to the House of Representatives, they often go beyond their limits.
What does this mean for Bitcoin?
It is hoped that this will give Bitcoin a bit of a breather. The past few months have been tough for the digital asset ecosystem, particularly in the United States. The SEC, in particular, has been quite forceful in its enforcement, taking on several big names in the industry.
How about, for example, the ban on Paxos from issuing new Binance USD (BUSD) stablecoins or the decision to unceremoniously close Kraken’s staking program.
They’re both decisions that come pretty much out of the blue for much of the industry. Regulatory clarity would be a fantastic development for Bitcoin and the rest of the crypto market.