The US Chamber of Commerce requests the SEC and the CFTC to clear regulation uncertainty

The United States Chamber of Commerce is urging the regulatory authorities to clear the uncertainty surrounding cryptocurrency regulations and even those regarding security tokens and Initial Coin Offerings (ICOs). The request for regulation comes after FinTech Innovation Initiative report was published in the previous week. The report has outlined the FinTech policy as well as their recommendations both of which will be laid before the regulators and the legislators.

The Chamber reckons that it is not easy to raise capital for starting companies. The difficulty does not stop at the initial stage of launching project but continues throughout the companies’ lifecycle. The Chamber said that the current regulations are not only complex but also expensive and companies are not growing due to these regulations. The same reasons are pushing innovators to other alternatives for raising capital like ICOs.

The Chamber has called out to the SEC to keep studying ICOs and come up with ways to use them within the law as a means of raising capital. The CFTC has also been asked to study the functioning of cryptos, especially in the futures and commodities market. The two authorities have been urged to regulate the products of the technology and in this way, they will be able to bring down consumer risk as well as prevent fraud. A direct quote from the report reads:

“As the crypto industry rapidly evolves, it is critical that both the SEC and CFTC are mindful of the fast-moving pace of technology, create streamlined processes to assess the tokens and be prepared to issue relief so regulatory hurdles do not become a barrier to entry. We look forward to working with both of these agencies as the use of tokens grows and regulatory expectations are clarified.”

The report concludes by noting that innovation will not stop but continue as the years come and go. SEC and CFTC are now under pressure to clear the regulations in the crypto market.

“The speed of innovation is not slowing anytime soon and will only likely increase in the years to come. It is critical the U.S. government and states encourage these innovations that will shape the economic landscape and transform our daily lives. We urge the U.S. government to lead this digital transformation and promote economic growth, to ensure the U.S. maintains a competitive advantage on the world stage and plays a key role in the development of global financial policy.”