The U.S. government has been busy firing shots in multiple directions to enforce regulations as the cryptocurrency ecosystem continues to evolve into an entire new economy.
The two federal agencies which serve as the primary regulators of cryptocurrencies in the U.S are the Securities and Exchange Commission (SEC) and the Commodity Futures Trading Commission (CFTC). However, both have differing views while taking a stance to define “cryptocurrencies” in order to enforce regulations.
Through the Initial Coin Offerings (ICOs), The SEC views the cryptocurrencies and tokens offered as “securities” and therefore administers them illegal unless registered by the SEC. On the other hand, a district judge backed the U.S. Commodity Future Trading Commission in defining cryptocurrencies as “commodities”.
Yet as the SEC and CFTC continue to decide whether or not cryptocurrencies are securities or commodities, one U.S. state is taking action by laying down the law at a state level.
A passing of five bills into law that relate to the advancement of cryptocurrency and blockchain technology has been done over the last few weeks by the Wyoming legislature. Despite all of these being notable, one law in particular makes Wyoming standout as being the first state in the world to define cryptocurrencies as an entirely new asset class.
A strong example for the way in which the U.S. government will define cryptocurrencies with the passing of House Bill 70 is the belief of Wyoming government officials. Labeled the “Utility Token Bill,” Wyoming’s House Bill 70 was passed by the Wyoming State Senate on March 7th of last week. Governor Matt Mead just signed the bill into law this past weekend.
Caitlin Long, co-founder of the Wyoming Blockchain Coalition, and its other members view the passing of House Bill 70 to be especially groundbreaking as this could be the first step to getting the U.S. congress to clarify how cryptocurrencies should be regulated.