The Democratic Party of the United States expressed its intention to support the full authority of the Securities and Exchange Commission on crypto in a memo circulated to committee members ahead of a hearing. The documents were shared on social media, causing a backlash from members of the crypto community.
On May 10, the documents IMPARTED on Twitter, promoting key messages for democrats to support the SEC’s authority in crypto regulation. This includes its argument that almost all digital assets constitute securities.
From threatening to give their votes to other parties arguing with many inconsistencies in the documents, various members of the community took to Twitter to express their dissatisfaction with the move against crypto.
According to a community member, the memorandum SHOWS where each party stands on crypto regulation. According to the Twitter user, Republicans want a clear framework while Democrats say the SEC has already clarified that almost all digital assets are securities.
Meanwhile, another member of the community DECLARED that they will no longer be part of the party. The community member argued that Democrats are playing god with “the future of American innovation.” In addition, Twitter users say that they are making decisions with a technology that they do not understand.
Related: Biden calls for closing $18B ‘crypto tax loopholes’ – Community begs to differ
Community member Austin Campbell also highlighted how foreign governments are excited about the possibility of taking the future of Fintech away from the United States. Campbell tweeted:
This is too dumb to be true; if I were a foreign government I would be happy with the possibility of getting the future of fintech and financial railroads from the United States based on this.
Going to make a lot of ex-Dems among the youth also with these lies. https://t.co/y1BkSV1jDM
– Austin Campbell (@CampbellJAustin) May 10, 2023
On May 8, Coinbase visited the United Arab Emirates to see its potential as a strategic hub for crypto exchanges. At an event called the Dubai Fintech Summit, Coinbase CEO Brian Armstrong said that the US is “a little behind” in terms of regulatory clarity. The executive also shared that he met with the UAE Minister of Economy HE Abdulla Bin Touq Al Marri during their visit.
At the same event, Crypto Oasis co-founder Saqr Ereiqat spoke about how the UAE’s infrastructure is more business-friendly than the U.S. The executive argued that the U.S. regulatory framework is “complex and fragmented” while the UAE has it more streamlined and highlighted with growing interest in the region.
Magazine: Crypto Regulation: Does SEC Chair Gary Gensler Have the Final Say?