The market is falling faster, but the regulatory 'ice' is melting

Author: Techub Hot Spot Express

The cryptocurrency market has continued to be sluggish recently, with the price of Bitcoin falling below $80,000, setting a new low in the past three and a half months. Coingalss data shows that the amount of liquidated shares across the entire network in the past 24 hours was as high as US$728 million. The cryptocurrency panic and greed index is still in a state of "extreme panic".

However, the recent change in attitudes of U.S. financial regulators suggests that tough stance on cryptocurrencies is softening.

The new posture of the Securities and Exchange Commission (SEC)

In contrast to the tough attitude of former chairman Gary Gensler, the SEC led by new SEC acting chairman Mark Uyeda shows signs of actively embracing cryptocurrencies.

Recently, the SEC has successively concluded its investigations into several crypto companies (OpenSea, Robinhood Crypto, Uniswap Labs, Gemini), and has canceled or planned to withdraw lawsuits against Coinbase, ConsenSys and MetaMask. In addition, the SEC and Binance filed for a 60-day suspension of the lawsuit, and the Tron Foundation and Justin Sun also took similar actions.

For the controversial Meme currency, the SEC clearly stated that it "does not belong to securities, but is similar to collectibles", which is very different from the previous ambiguous attitude.

These actions of the SEC, along with the sluggish market status, indicate a significant shift in its regulatory strategy. Since Uyeda took office, the SEC has made frequent moves, including the establishment of a cryptocurrency task force, the revocation of crypto asset accounting standards SAB-121, and the reduction of the size of cryptocurrency law enforcement departments. The SEC is also actively reviewing a number of crypto ETF applications.

All of this indicates that the SEC will show a completely different image than before.

Regulatory progress outside the SEC

In addition to the active reform of the SEC, other regulatory progress is also worthy of attention. The U.S. House of Representatives Funding Committee passed a resolution to abolish the IRS's "DeFi Broker Rules", which is important good news for the DeFi field. The resolution still needs to be approved by the House of Representatives and Senate and signed by the president before it can take effect.

Stablecoin legislation became the focus at the Senate Banking Digital Assets Subcommittee. The Subcommittee plans to develop a legislative framework for stablecoins in the coming months.

In addition, more and more government departments are paying attention to the voice of the cryptocurrency industry, such as the U.S. Treasury Department hired legal counsel for the crypto industry as digital asset policy consultants.

These actions from governments, regulators and industry leaders show that the regulatory environment in the cryptocurrency sector is maturing. Despite the current downturn in the market, this may help the cryptocurrency market grow healthier and more standardized in the long run.

Progress in strategic Bitcoin reserves in states

While the progress of state strategic bitcoin reserves has not been entirely smooth, it is still a positive signal overall. The "Bitcoin Laws" website shows that 24 states across the United States have proposed strategic Bitcoin reserve bills, and some of the bills have been rejected or shelved, but Utah, Arizona and other states are making relatively rapid progress.

States advance strategic Bitcoin reserves, marking the recognition and acceptance of cryptocurrencies by local governments.

Summary

Although the market is facing panic caused by price fluctuations and security incidents, the improvement of the regulatory environment is expected to gradually boost market confidence. The current market is sluggish, and investors are advised to wait and see carefully.

The above is the detailed content of The market is falling faster, but the regulatory 'ice' is melting. For more information, please follow other related articles on the PHP Chinese website!