- In a landmark development, The House Financial Services Committee has moved to protect the right to crypto self-custody.
- Investors can now keep their coins in their own wallets as per the “Keep Your Coins Act of 2023,” legislation.
In the latest developments in crypto, the House Financial Services Committee has passed the “Keep Your Coins Act of 2023” bill. The bill seeks to protect self-custody. Investors can keep their coins in their own wallets. The developments promote individual freedom with the investors acting as their own banks.
This is partly in response to the collapse of crypto exchanges such as FTX. Investors who trusted FTX saw their coins on the exchange and their investments taken and misused by the exchange’s management. Investors are now able to protect themselves from such bad players who plague the industry.
The legislation was brought forth by Republican congressman Warren Davidson who has been an advocate of cryptocurrencies and their underlying technology. The congressman has supported pro-crypto policies and called out the SEC for its selectively enforced opaque regulations and fake guidance that have slowed the industry’s growth.
Last night, the @FinancialCmte passed my bill to protect self-custody. Those attacking self-custody oppose individual freedom. They want someone they control to control your assets.
Defend Freedom.#KeepYourCoins https://t.co/MMUtosy6Qm
— Warren Davidson 🇺🇸 (@WarrenDavidson) July 28, 2023
In 2021, Davidson congratulated El Salvador for its efforts in adopting Bitcoin and using it for its economic development. From the congressman’s comments, it has been clear that he has seen the numerous benefits of the new financial tool and sees the need to embrace crypto and Bitcoin.
Big news from El Salvador! Nice thread explaining how #Bitcoin will likely accelerate development and help the people of El Salvador. https://t.co/uKV6yRPXfH
— Warren Davidson 🇺🇸 (@WarrenDavidson) June 7, 2021
For the most part, crypto regulation has been inconsistent in the U.S. While some lawmakers support the industry, some regard it as a threat to the traditional systems and are determined to slow its development.
Regulatory agencies such as US Securities and Exchange Commission (SEC) have continually frustrated industry players. Most recently, the SEC has filed lawsuits against two of the largest crypto exchanges- Coinbase and Binance. By doing so, this has driven investors most importantly the institutional investors, away from the market.
Some market leaders such as Coinbase CEO Brian Armstrong have called out the government, noting that continued crackdowns and lack of clear regulation could drive crypto firms away from the U.S. Cardano founder Charles Hoskinson and Ripple CEO Brad Garlinghouse have shared the same sentiments.
With the latest legislation from US Committee, lawmakers are taking steps in the right direction. To keep up and continue being the world economic leader, the U.S. needs to embrace and promote the crypto industry. This will further be driven by the entry of institutional investors. Particularly interested in Bitcoin ETFs, traditional market leaders such as BlackRock are increasingly entering the market.
