The United States Senate has blocked new regulation for cryptocurrencies, leaving the future of these assets in uncertainty. The Clarity Act did not receive the necessary backing, impacting Bitcoin's value.
The United States Senate decided last Tuesday not to approve the new regulation for cryptocurrency, known as the Clarity Act. According to expansion.com, the proposal was rejected with a result of 49 votes in favour and 50 against, due to opposition from Democrats, who demanded stricter limitations for high-ranking officials, including President Donald Trump.
The law aimed to establish a comprehensive regulatory framework for crypto assets, dividing oversight responsibilities between the Securities and Exchange Commission (SEC) and the Commodity Futures Trading Commission (CFTC). Consequently, the lack of approval has resulted in a 3.3% drop in Bitcoin's value, which fell from $78,000 to $75,700.
Senator Elizabeth Warren expressed her concern by stating: "Let’s make sure we don’t pass a cryptocurrency bill that allows Donald Trump to keep pocketing billions in crypto profits while working families across the country struggle to cope with rising prices." For his part, Senator Mark Warner indicated that Democrats are in favour of comprehensive regulation, but cannot allow the president to personally benefit from the legislation.
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