Coinbase, Robinhood, and officials from the U.S. commodities regulator are set to testify before Congress on June 6 to discuss a newly proposed crypto bill.
The trio will provide their organizations’ views on a proposed law that could include classifying certain crypto tokens as digital goods.
“Tomorrow I have the honor of testifying on Capitol Hill before the House Agriculture Committee to present Coinbase’s views on the Digital Asset Market Structure Discussion Draft […] was released last week,” said Paul Grewal, Coinbase’s Chief Legal Office, in a statement on June 5.
Other witnesses called to testify include former CFTC Chairman Chris Giancarlo, former CFTC Commissioner Dan Berkvitz and FIAconnect founder Walt Lukken.
In a June 5 Twitter thread, Grewal gave an overview of what his own statement will focus on.
“The US is falling behind. We cannot afford to ignore cryptocurrencies while other markets take advantage of our absence and develop rules and regulations that allow the industry to thrive and risk moving jobs, investment and technology leadership overseas,” noted Grewal and added:
“We need a clear set of rules in the US to deliver on the full promise of crypto. Until rules and laws are developed that reflect the realities of this new economic system, we cannot realize the full potential of making our financial system faster, fairer and more affordable.”
Grewal will also express support for the proposed crypto law, which he says represents “a major step forward in providing overdue regulatory clarity.”
The Digital Asset Market Structure Discussion Draft was released on June 2 and is part of an initiative by Republican Congressmen Patrick McHenry and Glenn Thompson to provide a “legal framework for regulating digital assets designed to provide clarity, close regulatory gaps and encourage innovation.” while ensuring adequate consumer protection.”
Commenting on the draft, Grewal described it as a “considered effort” that represents “a major step forward” as he “calls on lawmakers on both sides of the aisle to work together and act as quickly as possible”.
“By addressing both CFTC and SEC authorities, the discussion draft builds on existing regulatory frameworks while recognizing the unique characteristics and opportunities of digital assets. It would also provide much-needed authority and guidance from Congress to allow our financial system to evolve.”
Related: Coinbase Derivatives Exchange plans to launch BTC and ETH futures
The moves appear in line with Coinbase’s long-standing drive for more precise regulatory guidance for the crypto sector, and would come just a day after the US Securities and Exchange Commission issued 13 indictments to rival crypto exchange Binance.
Cointelegraph has reached out to Grewal to see if he will comment on the recent action during the hearing, and will update the article when he responds.
Summarizing his testimony, he argues that “digital assets as a whole do not fit into a single existing regulatory box: some are commodities, some are securities, some are neither, and some simply do not fit into existing categories.”
“With more than 20 percent of Americans owning and using cryptocurrencies, we need a regulatory framework that protects consumers and allows the critical use of this emerging technology to continue and expand,” Grewal said.
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