Crypto

Cryptocurrency back in spotlight in legislative push from Congress

Published

1 year ago

July 30, 2023

Cryptocurrency back in spotlight in legislative push from Congress

It was a big week for cryptocurrency on Capitol Hill, with the House moving forward with a couple major pieces of legislation and a bipartisan caste of senators planning an even more aggressive bill.

The latest legislative blitz comes as lawmakers hope to put more guardrails up for the cryptocurrency industry, especially amid the fallout from the sudden collapse of cryptocurrency giant FTX late last year. The bills in question would overhaul crypto regulation, set up a regulatory framework for stablecoins, and clamp down on the use of digital assets for money laundering.

INFLATION DECLINED TO 3% IN JUNE, ACCORDING TO KEY GAUGE WATCHED BY FED

On Wednesday, the House Financial Services Committee approved legislation that would create a regulatory framework for the issuance and trading of digital assets at the Securities and Exchange Commission and Commodity Futures Trading Commission.

The vote was 35-15, with six Democrats — Reps. Josh Gottheimer (NJ), Jim Himes (CT), Steven Horsford (NV), Wiley Nickel (NC), Brittany Pettersen (CO), and Ritchie Torres (NY) — joining with Republicans in the effort.

The bill, which was not supported by the committee’s ranking member, Rep. Maxine Waters (D-CA), creates rules for when cryptocurrency companies must register with either the SEC or CFTC and develops a certification system for issuers to show that a blockchain network is sufficiently decentralized — allowing tokens to be classified as commodities rather than securities and thus be overseen by the CFTC.

The legislation would also require both the SEC and CFTC to engage in joint rulemaking and require studies on matters such as nonfungible tokens and decentralized finance

The bill comes just after a major ruling on the debate over what different cryptocurrencies should be classified as. A federal judge ruled this month that cryptocurrency Ripple’s token is “not necessarily a security on its face.” Included in the crypto legislation is language that appears to conform it to that ruling, according to Bloomberg.

Waters framed the Republican-backed legislation as “a wish list of big crypto,” despite some of her colleagues crossing the aisle to vote it out of committee. One such individual, Himes, said he voted for it because it is better than the current situation.

“I am confident that this legislation, while not perfect, makes the status quo better,” Himes said.

John Berlau, a senior fellow and director of finance policy at the Competitive Enterprise Institute, told the Washington Examiner that Congress should tread lightly in granting more power to federal agencies, especially in light of judicial rulings such as the recent Ripple one.

“I think we need to be very careful in any legislation that grants blanket powers over cryptocurrency to the SEC, to the CFTC, or to any new agency,” he said.

Another major piece of legislation, passed out of the Financial Services Committee on Thursday after hours of debate, targets the stablecoin market.

Stablecoins, a $123 billion market, are a form of cryptocurrency that ties its value to an underlying asset, such as gold or fiat currency. They don’t typically fluctuate in value wildly, as some cryptocurrencies, such as bitcoin, have, because they are asset-backed.

The Clarity for Payment Stablecoins Act passed 34-16 out of the committee, with Himes, Gottheimer, Torres, Nickel, and Rep. Gregory Meeks (D-NY) joining the Republicans on the committee.

The Thursday markup began with finger-pointing. Chairman Patrick McHenry (R-NC) opened the hearing by accusing the White House of trying to sink bipartisan efforts to reach a deal.

“Unfortunately, there was a third party in this negotiation that did not share our same sense of urgency — the White House,” he said. “A bipartisan deal was within reach — we were closer than we’ve ever been. A few small, but nonetheless important, provisions stood between us and a deal. It was the White House’s unwillingness to compromise that has once again brought negotiations to a halt.”

The legislation would set up a federal regulatory structure while still assigning a role to individual states. The legislation applies to payment stablecoins and would define what assets can be used to back stablecoins (for instance, gold or U.S. dollars).

It also requires that stablecoin issuers submit certificates to either state or federal regulators with information about their coins and sets parameters for banks issuing stablecoins and establishes capital requirements for stablecoin issuers.

And then, on Friday, a bipartisan group of senators — led by Elizabeth Warren (D-MA) and Roger Marshall (R-KS) — reintroduced the Digital Asset Anti-Money Laundering Act, legislation that is designed to crack down on money laundering and terrorism financing through cryptocurrencies.

The bill would force know-your-customer rules onto participants in the cryptocurrency space, such as wallet providers and crypto miners.

Wallets are like digital containers where various cryptocurrencies can be stored in, and mining is the process of minting new coins or tokens. To mine for bitcoin, for instance, high-powered computers are used to verify virtual coin transactions. Bitcoin operates on what is known as a blockchain, essentially a public ledger, that contains the history of every transaction. The miners’ computers solve complicated math problems in order to add new blocks to the chain and are in turn rewarded with the digital token, making the endeavor profitable.

The bill would also compel the Financial Crimes Enforcement Network to make rules mandating institutions verify the identity of customers and keep records about crypto transactions involving “unhosted” wallets, which are ones that the user has complete control over the contents.

“Crypto has become the payment method of choice for rogue nations, drug lords, ransomware gangs, and fraudsters to launder billions of dollars in stolen funds, evade sanctions, fund illegal weapons programs, and profit off of devastating cyberattacks,” Warren said in a statement. “This bipartisan bill is the toughest proposal on the table to crack down on crypto crime and give regulators the tools they need to stop the flow of crypto to bad actors.”

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The price of bitcoin, a pretty decent barometer of the overall cryptocurrency market, was generally in the red this week amid the regulatory push, although overall, bitcoin and the price of other crypto tokens have risen since the start of the year — good news for the industry after a brutal 2022, which saw massive amounts of value wiped away.

As of Friday afternoon, bitcoin was hovering above $29,000. That’s about a 16% increase from a recent dip in June and a huge 76% increase since the start of this year.

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Crypto

This Game Changing Cryptocurrency Could Reshape the Blockchain Landscape in 2025 – Brave New Coin

Published

2 hours ago

December 23, 2024

Press Room

This Game Changing Cryptocurrency Could Reshape the Blockchain Landscape in 2025 – Brave New Coin

Lightchain AI has emerged as a standout in the blockchain space, positioning itself as a force with its cutting-edge AI integration and ultra-efficient tokenomics.

Currently in presale at just $0.003, it has already drawn comparisons to established giants like revolutionary DOGE, with potential for significant growth. As Lightchain AI gears up to redefine decentralized technology, its innovative roadmap and growing community highlight it as a game-changer.

Learn more at lightchain.ai.

Understanding Blockchain Evolution

Blockchain technology has come a long way from its inception, evolving from a system focused primarily on cryptocurrencies to a broader platform for decentralized applications and smart contracts. This transformation has enabled a wide range of industries to leverage blockchain for transparency, security, and efficiency. However, as the blockchain industry expands, challenges like scalability, energy consumption, and usability remain prominent concerns.

In response to these challenges, new blockchain projects are emerging with innovative solutions. These projects focus on enhancing scalability, reducing energy requirements, and integrating advanced technologies like artificial intelligence (AI). This evolution is not just about improving existing systems but also about reimagining how blockchain can drive progress in industries such as finance, healthcare, and supply chain management.

Impact of AI on Blockchain Tokens

AI is rapidly transforming the blockchain landscape, offering new levels of intelligence and adaptability. By integrating AI, blockchain projects can automate complex tasks, enhance decision-making processes, and improve system security. These advancements make AI-driven blockchain tokens more versatile and appealing to investors and developers alike.

One of the most significant benefits of AI in blockchain is its ability to optimize transaction processes and predict market trends. This capability allows projects like Lightchain AI to stand out by offering smarter, more efficient systems. As AI becomes an essential component of blockchain innovation, tokens that incorporate these technologies are positioned to lead the industry forward.

Comparison of Rising Cryptocurrencies

When comparing emerging cryptocurrencies, Lightchain AI consistently ranks among the top contenders due to its innovative features and promising roadmap. Unlike Doge, which primarily gained attention through community-driven hype, Lightchain AI combines cutting-edge AI capabilities with efficient tokenomics, making it a practical and forward-thinking choice for investors.

Other rising tokens also bring unique features to the table, but few match the versatility and scalability of Lightchain AI. Its ability to seamlessly integrate AI-driven solutions while maintaining a low entry price sets it apart from the competition. This blend of innovation and affordability makes Lightchain AI a clear frontrunner in the race to reshape blockchain technology.

Key Features of Lightchain AI

Lightchain AI introduces several innovative features that distinguish it in the blockchain ecosystem. One such feature is the Memecoin Launchpad, an AI-driven platform that provides a secure environment for creators to develop and monetize meme-based cryptocurrencies. This launchpad enhances the creative economy by offering tools and support for the seamless creation and deployment of memecoins.

Another notable feature is the Transparent AI Framework, which ensures that all AI decision-making processes within the platform are auditable and explainable. This framework enhances trust and reliability by embedding accountability into the system, allowing users and developers to interact confidently with Lightchain AI’s technology.

Future of Lightchain AI in Blockchain Space

With its unique combination of advanced technology and strategic planning, Lightchain AI‘s future looks bright. The token’s ability to adapt to market needs while pushing the boundaries of blockchain innovation makes it a promising contender in the industry, while the growing demand for AI-driven blockchain solutions further solidifies Lightchain AI’s position as a market leader.

Lightchain AI’s presale success reflects its strong potential, with tokens available at just $0.003. This affordable pricing, combined with its innovative features, attracts a diverse range of investors. As the project gains momentum, its focus on scalability, efficiency, and AI integration will likely drive widespread adoption and long-term success.

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This is a sponsored article. Opinions expressed are solely those of the sponsor and readers should conduct their own due diligence before taking any action based on information presented in this article.

Crypto

[Analysis] “Cryptocurrency Holders Surge Over the Past Two Years”

Published

10 hours ago

December 22, 2024

Press Room

[Analysis] “Cryptocurrency Holders Surge Over the Past Two Years”

Image=Santiment

It has been observed that the number of cryptocurrency holders has surged over the past two years.

On the 23rd (local time), the on-chain analysis platform Santiment reported on X (formerly Twitter) that “the number of cryptocurrency holders has significantly increased over the past two years. The number of non-empty wallets for the top 4 cryptocurrencies by market capitalization has generally increased.”

Specifically, Bitcoin (BTC) has 54.7 million wallets (a 27% increase), Ethereum (ETH) 134.9 million wallets (a 47% increase), Tether (USDT) 657 million wallets (a 66% increase), and Ripple 575 million wallets (a 28% increase).

Crypto

Blockchain Revolution: How Cryptocurrency is Transforming Global Logistics – theafricalogistics.com

Published

18 hours ago

December 22, 2024

Press Room

Blockchain Revolution: How Cryptocurrency is Transforming Global Logistics – theafricalogistics.com

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The global logistics industry is undergoing a seismic shift, driven by the integration of blockchain technology and cryptocurrency.

These innovations promise to enhance transparency, efficiency, and security across the supply chain. From tracking shipments to streamlining cross-border payments, the synergy between blockchain and cryptocurrency is setting new benchmarks for the logistics sector.

1. Blockchain’s Role in Logistics

Blockchain technology, essentially a decentralized ledger system, enables secure and transparent recording of transactions. For logistics, this translates into the ability to track goods in real-time, authenticate the origin of products, and mitigate fraud. Key benefits include:

Enhanced Traceability: Every transaction, from the manufacturing stage to delivery, is recorded on an immutable ledger. This ensures that stakeholders have a comprehensive view of the supply chain.
Reduced Paperwork: By digitizing documents such as bills of lading and certificates of origin, blockchain eliminates the inefficiencies of manual processes.
Improved Trust: Smart contracts, self-executing agreements coded on the blockchain, reduce disputes and enhance trust between parties.

2. Cryptocurrency in Cross-Border Transactions

Traditional cross-border payments in logistics are often marred by high fees, long processing times, and currency exchange risks. Cryptocurrencies, like Bitcoin and stablecoins, are addressing these challenges by:

Lowering Transaction Costs: Cryptocurrency transactions bypass intermediaries, significantly reducing fees.
Speeding Up Payments: Transactions settle in minutes, eliminating delays common with traditional banking systems.
Enhancing Financial Inclusion: For businesses in emerging markets, cryptocurrencies provide access to global trade without reliance on conventional banking infrastructure.

3. Use Cases Transforming the Sector

Several real-world applications highlight the impact of blockchain and cryptocurrency in logistics:

Walmart’s Blockchain Initiative: Walmart leverages blockchain to track the origin of produce, ensuring food safety and traceability within its supply chain.
Maersk’s TradeLens Platform: Developed in collaboration with IBM, TradeLens uses blockchain to digitize and streamline global shipping documentation, reducing inefficiencies.
Cryptocurrency-Powered Freight Payments: Startups like Slync.io enable shippers to pay carriers using digital currencies, enhancing payment speed and reliability.

4. Challenges to Adoption

Despite its potential, the adoption of blockchain and cryptocurrency in logistics is not without hurdles:

Regulatory Ambiguities: The legal status of cryptocurrencies varies across countries, complicating implementation.
Scalability Concerns: Processing thousands of transactions per second remains a challenge for blockchain networks.
Skill Gaps: The logistics workforce often lacks the technical expertise to deploy and manage blockchain systems.

5. The Road Ahead

The integration of blockchain and cryptocurrency in logistics is still in its nascent stages but holds immense promise.

Industry players are investing in pilot projects to explore scalability and operational viability. The convergence of these technologies with artificial intelligence and IoT will further revolutionize the sector, enabling predictive analytics, autonomous supply chains, and more.

Conclusion

Blockchain and cryptocurrency are not just buzzwords but transformative tools reshaping the logistics landscape.

By fostering transparency, reducing costs, and expediting processes, these technologies are addressing long-standing inefficiencies in the supply chain.

As adoption accelerates, businesses that embrace this revolution stand to gain a significant competitive edge in an increasingly digital and globalized economy.

Also Read

How cryptocurrency works: A step by step guide

Exploring the potential use cases of Pi Coins post-launch

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