New York Chief Prosecutor Letitia James invited US Congress members to take action to regulate crypto assets. James warned that crypto currencies such as Bitcoin could reduce the impact of the US dollar on the global financial system and expose investors to fraud activities. In this context, attention was drawn to the necessity of tight federal regulations for the protection of investors.
Crypto money arrangement
Chief Public Prosecutor James, a federal framework to be created with the risk of crypto money market risks can be reduced, he said. If the regulation is insufficient, the risks such as fraud and unpredictable value increases of currencies may increase. In addition, James drew attention to the possibility of illegal activities and support of hostile regimes if crypto assets remain uncontrolled.
The Chief Public Prosecutor emphasized that the so -called stablecoin should be regulated by assets whose value is fixed to US dollar. From the congress, he demanded that the stablecoin exporters should be operating in the USA and support their tokens with the support of US dollar or government bonds. James said that in case of lack of regulation, these assets will become open to manipulation.
“Millions of New York residents are purchasing and selling crypto assets and additional protection deserves.” – James
The process for the regulation of 2 Stablecoin in both the congress and the House of Representatives continues. The draft crypto coins in the Assembly of the Representatives is more positive, but at the end of the process, two drafts will work to combine them.
Financial security and pension accounts
James also opposes the inclusion of crypto assets in pension accounts. It is stated that such investments are at risk for long -term savings due to high price fluctuations. Crypto currencies such as Bitcoin were warned that investors may have negative effects on financial security.
The increasing influence of the crypto asset sector in Washington and becoming an important issue of discussion in the political arena causes the regulations on the subject to stand out further. Regulation efforts are aimed at preventing investor losses and strengthening national security. This step can also contribute to the provision of transparency and fair transactions in the crypto asset market.
The regulatory measures to be given are aimed to protect investors and to reduce the risks in the financial system. While the debate continues, US officials point to the importance of steps towards the control of digital assets at the national and international level.
Responsibility Rejection: The information contained in this article does not contain investment advice. Investors should be aware that crypto currencies carry high volatility and thus risk and carry out their operations in line with their own research.
