ChainCatcher news, according to Bitcoin.com, U.S. Congressman Warren Davidson introduced the "Assessing DeFi Opportunities Act" on Tuesday. The bill calls for the U.S. Securities and Exchange Commission (SEC), the U.S. Commodity Futures Trading Commission (CFTC), and the Secretary of the Treasury to jointly study decentralized finance (DeFi). Davidson emphasized that DeFi plays a crucial role in the future of capital markets, but he expressed concerns about the Biden-Harris administration's regulatory approach to the sector. He described, "This legislation ensures that the federal government can implement data-driven financial regulation without interfering with the development of digital markets or jeopardizing the user privacy provided by DeFi."Lawmakers pointed out that as the number of users continues to grow, the total market capitalization of DeFi has soared to approximately $75 billion. However, Davidson warned that excessive regulation could stifle innovation and lead to investments flowing overseas. The proposed study aims to help regulators understand the benefits of DeFi, such as the operational resilience of blockchain, market competition, and user privacy protection. Davidson stressed that regulators need to "take a cautious approach" to ensure that DeFi can thrive without compromising user privacy or innovation.

ChainCatcher news, on September 11, multiple U.S. lawmakers sent a letter to SEC Chairman Gary Gensler stating that they have launched a joint investigation into the SEC due to concerns that the agency may have engaged in politically motivated hiring practices.The letter, signed by Judiciary Committee Chairman Jim Jordan (Republican from Ohio), Financial Services Committee Chairman Patrick McHenry (Republican from North Carolina), and Oversight and Accountability Committee Chairman James Comer (Republican from Kentucky), outlines specific concerns regarding political hiring within the SEC.The investigation aims to determine whether the SEC considered political affiliations when hiring senior employees, potentially undermining the agency's impartiality and violating federal law.The evidence cited by the lawmakers suggests that under Gensler's leadership, political considerations influenced the SEC's hiring of senior staff. The letter specifically notes that Dr. Haoxiang Zhu was hired as the Director of Trading and Markets in November 2021.Reportedly, in an email prior to his appointment, Zhu assured Gensler of his political compatibility, writing in May 2021, "I believe I am in the right position politically," after discussing the role with Gensler.

According to ChainCatcher, Fox reporter Eleanor Terrett reported that U.S. Congressman Brad Sherman submitted an amendment to the House Rules Committee, requiring the following to be included in the passed National Defense Authorization Act (NDAA):The Secretary of the Treasury will have "clear authority to prohibit digital asset trading platforms and trading intermediaries under U.S. jurisdiction from transacting with known or reasonably suspected cryptocurrency addresses in Russia."The Financial Crimes Enforcement Network (@FinCENnews) will have the authority to require U.S. taxpayers participating in overseas cryptocurrency transactions exceeding $10,000 to submit FinCEN Form 114 (FBAR).

ChainCatcher news, U.S. House Representative Rep. Mike Flood stated that while President Biden's veto is disappointing, it is not the final decision on SAB 121. Digital assets and cryptocurrencies will continue to exist and are a key component of the future of finance in the United States.

ChainCatcher news, according to Cointelegraph, California Democratic Representative Maxine Waters stated that U.S. lawmakers are very close to reaching an agreement on the stablecoin bill.

ChainCatcher news, according to CoinDesk, members of the U.S. Congress are attempting to overturn a controversial accounting announcement by the Securities and Exchange Commission (SEC) that imposes restrictions on companies wishing to hold customer crypto assets. Senator Cynthia Lummis (R-Wyo.) along with Representatives Wiley Nickel (D-N.C.) and Mike Flood (R-Neb.) introduced matching resolutions in the Senate and House on Thursday, formally opposing this accounting rule and asserting that it has no legal effect.It is reported that the SEC's 2022 Staff Accounting Bulletin No. 121 (SAB 121) stipulates that companies holding customer cryptocurrencies should account for them on their own balance sheets, which could force banks wishing to hold cryptocurrencies to maintain what they consider burdensome capital to offset risks.

ChainCatcher news, according to CoinDesk, Congresswoman Maxine Waters expressed her concerns about Meta's ongoing efforts to expand into the cryptocurrency industry in a letter to CEO Mark Zuckerberg and COO Javier Olivan on Monday, as the company currently has five active trademark applications with the United States Patent and Trademark Office (USPTO).The letter pointed out five patents from Meta, including several applications related to the digital asset space, such as social media networks, dating services, and the trading and verification of cryptocurrencies, among others. Although these five applications are still pending, Meta informed the Financial Services Committee on October 12 that the company is not currently engaged in any work related to digital assets.Meta attempted to launch its own digital currency project in 2019, which was later named Diem. However, the project was ultimately shut down and sold in 2022 to the now-defunct Silvergate Bank.

ChainCatcher News, U.S. Congressman Warren Davidson stated on the X platform that CBDCs pose an existential threat to Western civilization. Sound money is a stable store of value and an effective medium of exchange, while CBDCs turn the corruption of money into a dystopian tool for coercion and control, and therefore should be prohibited.

According to ChainCatcher, as reported by Cryptoslate, lawmakers have removed cryptocurrency provisions from the $860 billion National Defense Authorization Act (NDAA) as it approaches its final vote, in order to facilitate its passage through both chambers of Congress. The provision required the Treasury Secretary to establish a review process to assess financial institutions' cryptocurrency anti-money laundering controls and compliance.The National Defense Authorization Act (NDAA) is legislation passed by Congress each year to authorize funding and set defense policy for U.S. military and defense programs. Because this bill is typically seen as essential legislation, lawmakers often attempt to add other provisions to it. These provisions usually face rigorous scrutiny before the final vote.

ChainCatcher news, Paradigm's head of government relations, Alexander Grieve, mentioned on social media that three U.S. lawmakers, Elizabeth Warren, Rep. Sean Casten, and Roger Marshall, are leading a letter to the U.S. Treasury and the National Security Council, signed by 28 other senators and 76 House representatives, regarding the issue of Hamas using cryptocurrency. They are inquiring about what additional powers (legislation) may be needed to combat this activity.Alexander Grieve believes that the Senate banking agenda is quite full this year, and it remains to be seen whether this letter will impact the upcoming cryptocurrency legislation. However, cryptocurrency opponents will continue to associate cryptocurrency with illegal finance, and we will see more such letters in the future.

ChainCatcher news, reported by bitcoin.com, states that some U.S. lawmakers have expressed concerns about the privacy risks of the Federal Reserve issuing a central bank digital currency (CBDC). One congressman stated that Americans have a right to financial privacy, and we do not need a CBDC that can track purchasing behavior.Several other lawmakers have also issued similar warnings about the risks of the Federal Reserve issuing a CBDC. Congressman R-NC previously stated on Twitter: "The Federal Reserve cannot advance a CBDC without congressional authorization. Before taking action, Congress must work to understand the risks that a CBDC may pose to privacy, private sector innovation, and American consumers."

ChainCatcher news, according to Fox News, two Republican members of the U.S. House of Representatives have submitted a bill to restructure the U.S. SEC and remove SEC Chairman Gary Gensler.Republican lawmakers stated that Gensler "has been allowed a range of abuses under the current SEC structure," and that legislative action is needed to address the issue of power abuse to protect the U.S. capital markets from the overreach of the SEC chairman. "Now is the time for real reform and to fire SEC Chairman Gary Gensler."The bill proposes to redistribute the chairman's powers to other commissioners, add a sixth commissioner to the agency, and establish an executive director position to oversee daily operations. Additionally, it prohibits any political party from holding more than three seats in the agency, implementing a structure similar to that of the Federal Election Commission (FEC). (source link)

ChainCatcher news, according to Bloomberg, U.S. Senator Elizabeth Warren of Massachusetts and U.S. Representative Alexandria Ocasio-Cortez of New York sent a letter on Sunday to the 14 largest depositors of Silicon Valley Bank, expressing concerns about the bank's relationships with certain venture capitalists and technology company founders. The companies that received this letter include USDC issuer Circle Internet Financial, crypto lending platform BlockFi Inc., metaverse platform Roblox, and others from various industries.It is reported that the two Democrats requested these companies to explain the duration of their relationship with the bank and the amount of their deposits at the bank, and also inquired whether any members of the Silicon Valley Bank board, executives, or investors received special benefits from the bank, such as credit lines. (source link)

ChainCatcher news, according to CNN, U.S. Senator Elizabeth Warren is attempting to push for bipartisan efforts in Congress to combat money laundering in the cryptocurrency industry. Warren's office stated that she is collaborating with Kansas Republican Senator Roger Marshall to introduce new legislation on Wednesday.The new bill, titled the Digital Asset Anti-Money Laundering Act, aims to combat money laundering by attempting to align the digital asset ecosystem with the existing anti-money laundering framework in the global financial system. The bill will direct the Financial Crimes Enforcement Network (FinCEN) to classify digital asset wallet providers, miners, validators, and other entities as money services businesses. This, in turn, will expand the scope of responsibilities under the Bank Secrecy Act to the crypto industry, including KYC requirements.The bill will also compel regulators to advance new restrictions aimed at closing the loopholes that allow individuals to bypass anti-money laundering and sanctions checks. Specifically, it will instruct FinCEN to finalize and implement a rule proposed in 2020 that would require banks and money services businesses to verify the identities of customers and counterparties, maintain records, and submit reports related to non-custodial wallets or wallets associated with jurisdictions that do not comply with banking regulations.Other requirements of the bill include:Prohibiting banks and other financial institutions from using technologies that enhance anonymity (such as digital asset mixers) or engaging in transactions with them, and banning the processing of digital assets that utilize these technologies.Expanding the Bank Secrecy Act rules regarding foreign bank account reporting to include digital assets, requiring U.S. persons conducting digital asset transactions exceeding $10,000 through overseas accounts to report to the IRS.Directing regulators to strengthen the enforcement of the Bank Secrecy Act by establishing compliance review procedures for money services businesses.Targeting digital asset ATMs to ensure operators and administrators submit and update the actual addresses of their ATMs. (Source link)

ChainCatcher news, Facebook is trying to persuade U.S. lawmakers to give cryptocurrency another chance and not to impose overly strict regulations due to the FTX bankruptcy and SBF's fraud allegations. Instead, they should allow the NFT-driven metaverse to thrive, as the metaverse is expected to add $3 trillion to the global GDP by 2031. Therefore, they hope lawmakers will not treat the metaverse's Web3 components the same way they treated Libra.Facebook wants regulators to adopt a regulatory framework that does not exclude revenue streams from non-advertisers, which would better provide creators with "monetization tools," access to digital assets and markets, community interaction, and consumption of digital products and services. (vice)

ChainCatcher News, U.S. Congressman Tom Emmer tweeted that the significant decline of major exchanges and ecosystems (FTX, Celsius, Voyager, and Terra) over the past year has raised questions about the effectiveness of U.S. crypto regulations. Congressman Tom Emmer expressed concerns about the regulatory strategy implemented by SEC Chairman Gary Gensler on the crypto ecosystem.Additionally, Emmer stated, "Congress should not rely on fabricated stories in progressive publications to understand the details of the SEC's regulatory agenda, and we look forward to Gary Gensler's public testimony before the Financial Committee." (Source link)

ChainCatcher news, The Block reports that FTX founder Sam Bankman-Fried (SBF) donated millions of dollars to lawmakers during the mid-2022 cycle. However, after FTX filed for bankruptcy protection, some politicians were eager to distance themselves from cash linked to crypto. Some U.S. lawmakers have donated campaign contributions from the controversial donor to charities, with the first legislators to donate Bankman-Fried's cash being Illinois Democratic Representative Chuy Garcia and Oklahoma Republican Representative Kevin Hern.Both donated their cash linked to FTX to charities. Senator Kirsten Gillibrand (D-N.Y.), who is a co-author of a comprehensive cryptocurrency regulatory bill, also donated Bankman-Fried's $5,800 contribution to a charity in New York City. (source link)

ChainCatcher News: Three U.S. senators sent a letter on November 21 to Fidelity Investments CEO Abigail Johnson, urging Fidelity to reconsider its decision to allow retirement plan participants to invest in Bitcoin, stating that the industry has become increasingly "volatile and chaotic."Previously, Fidelity planned to allow retirement savers to deposit their Bitcoin into 401(k) accounts. The 401(k) plan is a retirement benefit plan offered by U.S. companies that allows employers to establish a tax-deferred retirement savings plan for employees, and this pension can be invested in funds, stocks, and more. (Decrypt)

Chain Catcher News, several Republican members of the U.S. House Financial Services Committee have requested U.S. Attorney General Merrick Garland to provide the Justice Department's assessment on whether the Federal Reserve has the necessary authority to issue a central bank digital currency (CBDC).It is reported that the U.S. Department of Justice has released two reports in response to President Biden's March executive order related to cryptocurrencies, the first of which concerns the sharing of information on cryptocurrency crimes internationally. The second announced the establishment of a prosecutor's task force specifically responsible for cryptocurrency crimes. The third details whether Congress must approve the CBDC.The letter states that the lawmakers believe the Federal Reserve does not have the necessary authority to issue a CBDC and also mentions that Federal Reserve Chairman Jerome Powell and Vice Chair Lael Brainard have called for action from Congress. Representatives Patrick McHenry, French Hill, and others have set October 15 as the deadline for Garland to respond. (source link)