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- If US politicians do not change infrastructure bill HR 3684, which would compel blockchain developers to obtain broker status on US territory, they would soon ruin a major chance for job growth and a diversified workforce in blockchain technology
- Jane Thompson, a futurist and blockchain social impact leader, mentioned that blockchain allows them to establish a new decentralised economic system, which will radically change how individuals save and use their assets and money
- Despite this, they have established themselves as acknowledged developers, fintech entrepreneurs, innovators, and advisors as a result of the opportunities that the developing blockchain business provides
If US politicians do not change infrastructure bill HR 3684, which would compel blockchain developers to obtain broker status on US territory, they would soon ruin a major chance for job growth and a diversified workforce in blockchain technology. HR 3684 does not take into account the asset class’s taxonomy. Many crypto assets are transactional tokens and utilised as consensus mechanisms in distributed ledger technology, hence they do not fall within the notion of security. The requirement of broker status for all blockchain developers shows that US policymakers are still learning about blockchain technology and cryptocurrency’s vast and diversified collection of applications.
Jane Thompson, a futurist and blockchain social impact leader, mentioned that blockchain allows them to establish a new decentralised economic system, which will radically change how individuals save and use their assets and money. However, blockchain is not necessarily financial, and a digital asset’s classification should be determined by its functions and attributes. This is an ill-informed and short-sighted bill that will continue to keep marginalised populations out of an already privileged economic system. Access to money and new forms of digital enterprise are becoming more democratised thanks to blockchain. Its low entrance barrier has enabled people from all walks of life from all over the world to join in the burgeoning decentralised digital economy. These trailblazers aren’t your typical Wall Street and banking players.
Despite this, they have established themselves as acknowledged developers, fintech entrepreneurs, innovators, and advisors as a result of the opportunities that the developing blockchain business provides. Never before have we seen so many people from all walks of life participate in digital asset investing, trading, and use. Most Americans, especially those in lower socioeconomic classes, cannot afford the fees of initial and continuing education, let alone the licencing and business expenses that come with broker licensure. Trading has a steep learning curve, especially for developers who aren’t necessarily traders. It’s the equivalent of asking a doctor to simultaneously be a lawyer in order to lawfully practise medicine. Broker tests in the United States, particularly the Series 7, are notoriously demanding and can take months or years to complete.
HR 3684 runs counter to existing fintech and traditional finance norms. When blockchain engineers don’t have to manage client assets, why should they be considered like brokers? In the United States, quant developers and even regular developers working for online payment networks like Paypal are not needed to obtain a broker license.
Regulation is necessary to safeguard consumers and the economy, but this ill-advised attempt to establish a legal framework for cryptocurrency would simply send industry leaders of all stripes, firms, and jobs overseas at a time when the United States desperately needs job growth. Despite the absence of an amendment suggested by six senators earlier this week to clarify the crypto language in the bill, the US Senate has adopted HR 3684. It will then be referred to the House of Representatives for final approval before reaching President Biden.
Steve Anderson is an Australian crypto enthusiast. He is a specialist in management and trading for over 5 years. Steve has worked as a crypto trader, he loves learning about decentralisation, understanding the true potential of the blockchain.
