U.S. Senator Mike Rounds questions the negativity surrounding Libra
|It is nice to see a US official come out in support of Libra. Today Mike Rounds wrote to Nathan McCauley the president of crypto custodian company Anchorage Trust expressing his support.
He seems to be concerned that other areas and nations in the world are advancing in the field of digital money much quicker than the United States.
"It is profoundly disappointing that my colleagues chose to address your peers in such an ominous tone, which I fear may put a chill on innovation in the long run." Said Rounds.
He pointed out that in countries like 80% of its population used a mobile payment device compared to 10% of Americans. The Senator then said that negative reactions to Libra are "puzzling" and claimed that there is no clear legal way to decide if a cryptocurrency is a security or not. The only legal foundation they do have is rooted is an outdated Securities Act of 1933, adding:
"That law was written more than half a century before computers and the internet were created, more than two decades before Hawai'i was admitted to the Union, a decade before the jet engine was developed, and in a period of time in which 90 percent of rural America lacked electricity.”
It is an interesting thought, no other analyst has thought of how outdated the US laws are surrounding currencies and securities. Let us hope that the Senate feel the same when Zuckerberg takes the stand later this month.
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