Ever since Trump said he would support crypto and make sure it was adopted here in the states and not let it go over seas there's been an increasing support of him which the Democratic party is starting to look at. This has spread to the house in one of their biggest votes yet in which the results ended up being...
Republican 204 yea 0 nay 13 no vote
Democratic 0 yea 203 nay 10 no vote
Goes to show you how lop sided every vote is and how no one really votes for themselves these days and instead just go with the party. That's a gripe and issue for another day however.
Today I want to focus on what exactly just passed and how it's starting to be a little bit of a wake up call now as we head into the next presidential election which in the grand scheme of things really isn't all that far away.
What passed was what is called FIT21 Act.
What Is FIT 21 Act?
It's the framework of everything rolling forward and stands for Financial Innovation and Technology act. The primary framework is how it's aims to simplify regulation which we all know has been a gray area for a long time resulting in lawsuit after lawsuit from an aggressive SEC that is clearly out for blood but doesn't have the right to be doing that. The SEC is to enforce laws that area ALREADY in place not create new ones.
The primary function that happens with this new ruling is the SEC should be kicked out from crypto and instead the CFTC will now be working with crypto towards proper regulations. The CTFC stands for Commodity Futures Trading Commission.
Now the SEC would still be involved in some areas but it mainly goes around these two very very important factors.
- The CFTC would regulate digital assets if the blockchain or digital ledger is functional and decentralized.
- The SEC would be the overseer if the blockchain is functional and not decentralized.
What Is Decentralization?
So that brings up the real question on what's considered decentralized and what's not?
Essentially it means if it's a decentralized blockchain then it's considered a commodity. If it's NOT decentralized it's considered a securities. Now the bill does go into this a bit more saying that if 20% of the crypto is controlled by a single power then it's considered not decentralized.
What's funny is Gary is at it again trash talking the bill. But what Gary doesn't understand here is this country is not a dictatorship and what he believes and fields should be does not get enforced which is ALL he's been trying to do with his years in power with countless court hearings.
What's pretty crazy about this is the the president of course can veto the bill however has said they wont. Which I want to highlight again about 1/3 of the voting USA population is pro crypto and owns crypto and the dems are starting to back pedal on their abuse towards crypto due to elections coming up. Please understand if they get voted back in they will not stay true to their words and will simply take another 3 years to be aggressive towards crypto again and then try and backpaddle again on election year.
Running A Business
We here it constantly from businesses as well about how over regulated our world has become and how it's nearing impossible to be within regulation and run a business in the USA anymore and honestly I totally agree. There's been plenty of times when I wanted to do something and ended up not doing it because of potential blow back, unknowns, red tape, forms to fill out, other people you have to hire to make sure the right paperwork is being filed and so on. It's complete madness anymore and seriously destroys anyone's ability to really operate a small business.
Banks, Large Funds and The SEC
We are clearly seeing a shift now across the board as bitcoins ETF showed banks just how profitable crypto is compared to the likes of highly inflated government bonds. The USA government and FIAT system I wouldn't say it's in trouble but it's for sure losing it's trust and rightfully so. We have a government that overspends so much and much of that over spending happens into other countries and not here at home that people are simply getting sick of it now. There's no tax breaks simply more and more taxing on people to try and prop up their excessive spending which they need to cut back on. It's legit that simple and it sickens me and makes me dislike my government more and more each day and I believe others are in that same boat.
As banks and other large cap funds start making more and more money the adoption is on the rise and we see that they have a power. As these banks and large funds are profitable and not in trillions of dollars in debt like the government.