Crypto in the United States: Moody’s is ringing the bell

Moody’s is a well-known research and risk analysis company within the cryptosphere. On June 20, she publishes a most interesting report on crypto in the United States. Concretely, it highlights the political divisions in the United States regarding crypto regulation.

The lack of bipartisan support on crypto legislation

Historically, crypto regulation in the United States has been subject to debate. In his reportMoody’s particularly emphasizes the divergent approaches of Democrats and Republicans. The main source of disagreement concerns the supervision of stablecoins. Indeed, legislators are struggling to determine whether it should be exercised at the federal level or at the state level.

That’s not all ! Consumer protection following the bankruptcies of crypto companies in 2022 is also generating heated debate. Democrats and Republicans agree on one point: it is essential to protect consumers. To do this, it would be necessary to establish clear and consistent crypto regulations. Unfortunately, they take different approaches to achieve these goals.

Crypto companies often victims of regulatory vagueness in the United States

The lack of regulatory clarity in the US is putting off a number of crypto businesses. The proof, many of them have been fleeing American territory since the beginning of the year. In conflict with the SEC, Coinbase, for example, chose to move in the United Arab Emirates in May. And Coinbase executives aren’t the only ones doing this.

This connotes an important fact: if U.S. lawmakers fail to establish a cohesive crypto regulatory framework, the U.S. risks losing its attractiveness to this growing industry.

Crypto businesses believe that the lack of bipartisan support and regulatory clarity is hurting their growth in the United States. In the face of legal action and regulatory uncertainty, they view other jurisdictions as more attractive alternatives to develop their activities.