Controversial crypto-regulation law: Now Elon Musk is also speaking out
The new crypto infrastructure bill before the House of Representatives has been at the centre of discussions in the crypto market lately. Regulation continues to be a major issue in the market. Country after country is trying to pass regulations in favour or against cryptocurrencies. This has led to some interesting developments in crypto regulation so far. Some countries are against cryptocurrencies, such as India. Others have come out in favour of them, such as El Salvador.
The US now seems to be the next to plan regulation for cryptocurrencies. To this end, an infrastructure bill has been proposed to the House of Representatives. A bill that Coinbase CEO Brian Armstrong called "disastrous" in a Twitter post. The bill is not met with enthusiasm by crypto investors either.
US Senator Mike Warner recently proposed an amendment to the bill. An amendment that provides for the House of Representatives to decide which technologies may be on the market. And also which technologies are not.
Coinbase CEO reacts to crypto bill amendment
The CEO of Coinbase, Brian Armstrong, now opposes this change on Twitter. According to Armstrong, such a law would be harmful to the entire cryptocurrency industry. He called the law a "violation of Americans' rights".
Armstrong also points out how this amendment discriminates against proof-of-stake miners. It imposes conditions on proof-of-stake validators that are difficult to meet. According to the CEO, this would give the Senate the power to decide which cryptos could stay. The relatively young crypto industry would suffer a severe blow if such an amendment were passed into law.
1/ There are a few key moments that define our future. One is happening now in the Senate w/ the infrastructure bill. At the 11th hour @MarkWarner has proposed an amendment that would decide which foundational technologies are OK and which are not in crypto. This is disastrous.
The CEO ended the thread by urging constituents to call their senators. To urge them to vote for the Wyden-Lummis-Toomey amendment. Instead of voting for the Warner-Portman amendment. In an effort to "keep crypto alive and thriving."
Regulations should not be hasty decisions
Now Elon Musk has also responded to Brian Armstrong's Twitter thread. He agrees with what the CEO has to say about regulation. According to Musk, there is no reason to rush into regulation. Regardless of whether there is a crisis or not.
Musk also points out that there would be no winners or losers if this change is passed into law. The entire market would be affected - regardless of which side of the fence you are on.
Agreed, this is not the time to pick technology winners or losers in cryptocurrency technology. There is no crisis that compels hasty legislation.
Determining the approved technologies in the selection process - that is never likely to end well. Senators could side with the one that favours them personally. With new technologies entering the market every day, there is no telling how this change would affect these new technologies. Therefore, there is a call for decisions on the infrastructure bill not to be made hastily.