U.S. Financial Commission: Almost all cryptocurrencies are considered illegal securities, supports SEC's authority in crypto regulation.

A stablecoin hearing hosted by the U.S. House Financial Services Committee is set to take place on the 18th of this month. However, prior to the official start, a memorandum containing "key information" is circulating among Democratic committee members.

Memo: SEC Has the Ability to Prevent Crypto Crimes

Fox reporter Eleanor Terrett tweeted on Twitter that a memo was circulated among Democratic committee members before the U.S. House Financial Services Committee's hearing on the direction of cryptocurrency asset regulation on the 11th.

Eleanor stated that the memo contains the "key message" insisted upon by the House Financial Committee. The memo mentions in the beginning that committee Republican members who seek to reduce the budgets of financial regulatory agencies are not actually safeguarding investors' rights, and they should focus on passing a detailed debt ceiling bill rather than legislation supporting cryptocurrencies.

In the latter part of the document, the committee supports the Securities and Exchange Commission (SEC) having absolute jurisdiction over cryptocurrency and asset regulation, stating that almost all existing cryptocurrencies fall under the category of securities. It also indicates that the current issue with cryptocurrencies is not ambiguity or pushing legal boundaries but rather large-scale non-compliance and illegal activities. Finally, the committee claims that the SEC has established a strong enough team and regulations to prevent crypto-related crimes and protect investors.

In response to the memo and the uncertainty within the U.S. government regarding cryptocurrency asset regulation, some people commented on Twitter that if the U.S. treats cryptocurrency technology in an anti-innovative way, both jobs and capital will leave the country.

Different Views Between Government and Localities?

Actions related to cryptocurrency assets by one state undoubtedly influence other states and even the entire country in advancing and changing cryptocurrency asset regulation.

Contrary to the unfriendly official stance of the U.S. government towards cryptocurrency assets, the state of New York as a local government has taken a different approach by introducing a new bill that accepts stablecoins as a payment method for bail. According to news media Watcher.Guru's report, the new legislative bill will amend the current criminal procedure law to extend acceptable bail payment methods from cash and credit cards to various bonds and stable digital assets.

Specifically, the bill only introduces "fiat-pegged stablecoins" as a payment method, excluding non-fiat-pegged stablecoins and algorithmic stablecoins from the acceptable range. The implementation of this bill is seen as a milestone that could lead to the adoption and use of stablecoins in New York and other regions.

(Source: Watcher.Guru)