A leaked copy of a United States draft bill concerning cryptocurrencies surfaced online earlier on Tuesday. US Crypto Bill Targets DeFi and DAOs The 600-page copy of the leaked bill with an “EMBARGOED” watermark over it, contains key areas of concern for regulators including decentralized finance (DeFi), stablecoins, Decentralized Autonomous Organizations (DAOs), crypto exchanges, and that they must be legally registered. here you go (plz RT) pic.twitter.com/UOVhIUiUBu — slam (@bot_slam) June 7, 2022 Separate provisions with respect to crypto exchanges were also outlined in the bill. For instance, compliance costs are proposed to be raised. Investors might have to indirectly bear the burden of the same as exchanges would try to recover the same via higher fees. The bill also seeks to recognize NFTs as a completely different asset class. In the meantime, it seeks to treat all cryptocurrencies, including Bitcoin as “ancillary assets” unless they behave like the security that a company might issue to pool capital to provide dividends, liquidation rights, or financial interest in the issuer. Interestingly, the legislation will not ban non-custodial or self-hosted crypto wallets. Finally, the bill mandates 100 percent backing for stablecoins owing to last month’s demise of Terra’s UST stablecoin. At this point, the bill is far from finished and further changes are still possible as the bill is still in its draft form. As is always ...
