Renowned US hedge fund manager Paul Tudor Jones is sounding the alarm over the hostile regulations surrounding Bitcoin in the United States. In an interview with CNBC, Jones expresses concern about a “real problem” caused by unfavorable regulations.
The US regulatory environment
US regulators have long been on a crusade against Bitcoin and other cryptos. Most companies operating in the United States have had to deal with hostile regulations that are unmatched anywhere else.
In this not very encouraging context, Paul Tudor Jones pointed to the “real problem” facing Bitcoin in the United States. In a recent interview Along with CNBC, he pointed out that the country’s regulatory apparatus is largely unfavorable to cryptocurrencies.
Worse still, there is vagueness in the regulatory framework. US regulators differ on the status of Bitcoin. The Chairman of the Securities and Exchange Commission (SEC), Gary Gensler, considers that Bitcoin does not fall under “security”. In contrast, he hints that most other crypto could qualify as securities and therefore be regulated by the SEC.
For his part, the chairman of the Commodity Futures Trading Commission (CFTC), Rostin Behnam, maintains that Bitcoin is a commodity under his jurisdiction.
Towards clear regulations
Faced with this regulatory confusion, US lawmakers are working to try to bring some clarity to the regulatory mess. They are working on bills to make a clear distinction between cryptocurrencies that would be considered securities or commodities.
Senators Cynthia Lummis (R-Wyo.) and Kirsten Gillibrand (DN.Y.) plan to introduce a revised Responsible Innovation Act. This new law would grant the Commodity Futures Trading Commission (CFTC) oversight of the most prized crypto assets, while also addressing issues related to stablecoins and taxes. These measures will make it possible to clarify the definitions and provide more details regarding the different categories of tokens.
Despite the regulatory challenges facing Bitcoin, Paul Tudor Jones, meanwhile, remains committed to the king of cryptos and plans to keep it as a diversification of his wallet.
While waiting for regulators to find common ground, the crypto community and investors are closely following these heated debates. Because, let’s be honest, the future of Bitcoin in the United States hangs in the balance. If they can’t get this straightened out and have consistent regulation, it may stifle innovation and incentivize large corporations to seek refuge elsewhere.
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