Bipartisan support for regulation of cryptocurrencies is growing the U.S. Congress, with legislators calling for action to address the risks posed by virtual currencies to investors and the financial system, Reuters reported.
“There’s no question about the fact that there is a need for a regulatory framework,” said Republican Senator Mike Rounds, a Senate Banking Committee member.
The Capitol Hill is particularly concerned by speculative trading and investing in cryptocurrencies.
Carolyn Maloney, a Democratic senior member of the House Financial Services Committee, is another lawmaker advocating for direct oversight of digital assets by the SEC.
“A lot of people don’t realize there’s nothing backing these virtual currencies,” she said.
Representative Tom MacArthur, a House Financial Services Committee Republican, calls to look carefully at all of the cryptocurrencies and make sure individuals don’t get taken advantage of, saying that “cryptocurrencies may aid money laundering and terrorist financing, hurt consumers and undermine trust in the global financial system.”
Chairmen of the Securities and Exchange Commission (SEC), the Commodity Futures Trading Commission (CFTC) recently called for greater scrutiny of digital assets before the Senate Banking Committee. Members of the panel said the regulators will return to discuss how to move forward.
While many lawmakers agree tighter oversight is needed, there is no consensus yet in Congress on how to proceed.