Wyoming Senator Cynthia Lummis said the Treasury Department could pose a bigger threat to blockchain and crypto innovation in the United States than the Securities and Exchange Commission or the Commodity Futures Trading Commission.
Speaking at the Blockchain Summit in Texas in Austin on Oct. 8, Lummis said her recent concerns with the federal agency stem from the language related to cryptocurrency brokers in the Basic Law. Infrastructure is currently the focus of debate in Parliament – Treasury Secretary Janet Yellen has spoken out in favor of the law. According to the text, passed by the Senate in August, brokers are required to report digital asset transactions worth more than $ 10,000 to the Internal Revenue Service.
“The proposed definition shows a fundamental misunderstanding about Bitcoin and other digital assets,” said Lummis, who claimed that many brokers under the bill have little or no knowledge of their customers and do not have the information necessary for them Filing a notification are required.
Exactly 3% of the US Senate attended the Texas Blockchain Summit. Texas Senator Ted Cruz spoke about Bitcoin (BTC) mining being used to monetize the energy generated by oil and gas mining, rather than “burning” it – burning the excess fuel. Cruz was answering questions about the state’s power grid during a severe winter storm in February when the Senator left Texas for a short trip to Cancun.
While Cruz was primarily focused on energy concerns, Senators John Cornyn and Lummis both implied that the key to avoiding misunderstandings in legislation like changing cryptocurrency to the infrastructure bill would depend on public participation, not legislator education on the issue . According to Cornyn, the language in the infrastructure bill was “a bit of a surprise” for congressmen who did not have the knowledge to speak on the matter.
Cruz claims that “no five members of the US Senate can tell you what bitcoin is,” but Lummis said she observed “enough to understand” following the infrastructure debate that the language about cryptocurrency is likely to be changed in the house version of the bill . Congress is currently struggling to pass long-term laws on infrastructure, budget adjustments, and debt ceilings.
“I’ve worked with members of both sides who weren’t interested in Bitcoin and digital assets and now we know each other and we talk about it a lot now,” Lummis said. “I really thought that language was going to change, but the Treasury Department, the IRS, began to show me that we really need to work to stop the heavy hand of the government foundation. . “
Related: US Debt Ceiling Crisis: Treasury Department Catalyst For Ultimate Decoupling From Crypto?
Originally slated for a vote before September 27, the Senate Infrastructure Bill was entangled in a vote in the House of Representatives’ $ 3.5 trillion proposal on its debt. Legislators will likely try to continue this week.