The chief executive and co-founder of the encrypted finance company supported by Goldman Sachs, Circle, said that the main regulatory obstacle to which cryptography is subject today is the lack of clarity by the US securities regulator on how to define various cryptographic activities.
Jeremy Allaire made his remarks in an AMA profitability thread that kicked off on January 10 with Circle co-founder Sean Neville and other studio representatives.
In response to a question about Circle's efforts to educate regulators like the Securities and Exchange Commission (SEC) on the cryptography industry, as well as the specific challenges that the company faces, Allaire wrote:
"The biggest and most immediate regulatory obstacle we face is the lack of specific guidance from the SEC on how to classify the various cryptographic resources, we believe that many are clearly currencies and raw materials, and there must be more specificity about those that are really securities, which can unlock many market activities and also clearly allow the growth of a market for cryptographic titles. "
In response to other questions focused on regulation, Allaire also stated that Circle's belief that tax treatment should be differentiated for crypto-cryptographic transactions, observing that France has anticipated other countries in pursuing a legislative amendment to this end. .
As reported, the prospective bill of France to alleviate the cryptocurrency cryptation has recently undergone a quarrel in parliament.
Other topics that have gained adherence to the thread have been discussions on privacy-focused altcoins such as Monero (XMR), with many editors eager to deepen Circle's approach to managing scrutiny by lawmakers and forces. order in opaque blockchains so nicknamed.
Robert Bench, chief compliance officer and head of Circle's legal counsel, made it clear that although no specific laws have yet been drafted in the United States in relation to private currencies, Circle may use these assets to assess the risks of its customers.
Noting that the fight against privacy and the fight against money laundering (LMA) is high on the agenda of regulators, he added that "it will not underestimate the ability of intelligent industry and governmental stakeholders to find solutions to provide transparency on these coins [in the future]".
As reported, Allaire recently predicted that Bitcoin (BTC) will eventually be worth much more than now, but has stopped at Bitcoin maximalism, saying:
"I do not think it's the winner, all taken in. We have the phrase & # 39; tokenize everything & # 39; and we think that cryptographic tokens will represent every form of financial asset in the world." There will be millions of them in years. "