U.S. Presidential candidate Michael Bloomberg has proposed creating a regulatory framework for cryptocurrencies in a new financial plan. The plan includes clarifying which agencies oversee the crypto space, and creating a framework to clarify when tokens are securities.
Michael Bloomberg who entered the race in November 2019, proposed the creation of a “clear” regulatory framework for cryptocurrencies.
Per a financial reform plan published on his campaign’s website, Bloomberg is proposing the creation of a regulatory sandbox for startups and providing a “clear regulatory framework for cryptocurrencies.” According to the proposal:
“Cryptocurrencies have become an asset class worth hundreds of billions of dollars, yet regulatory oversight remains fragmented and undeveloped.”
The plan continued that “for all the promise of the blockchain, bitcoin, and initial coin offerings” there’s fraud and other criminal activity taking advantage of people. It recommends clarifying which agencies would be overseeing the cryptocurrency space, and creating a framework to clarify when tokens are securities.
It also goes into clarifying the cryptocurrency tax regime and calls for greater consumer protection and for financial institutions to have to monitor risk exposure.