This electoral session witnessed a sharp increase in political spending from cryptocurrencies, as the industry was put to influence American policy. Indeed, many countries have begun to explore the creation of Bitcoin strategic reserves. When Bitcoin becomes the most institution, it is seen by the state’s treasury bonds as a victory for the encryption sector.
However, this trend raises concerns about the future rights of bitcoin holders, as governmental and institutional supervision can transform bitcoin from the CypherPunk dream stationed in decentralized currency, from peers to other financial assets.
In the 2024 electoral cycle, with encrypted currency companies Spent More than $ 119 million to influence the federal elections, with nearly half of all the political donations of companies this year from the encryption sector. This money was primarily directed to non -partisan Super Pac, Fairshake, which supports pro -abure candidates and opposes skeptics of encryption. The encryption companies are now the largest political expenditures for companies, crossing even Koch Industries, which have contributed greatly but are still late in comparison. Since 2010, Crypto Corports Comborts United spent $ 129 million, making them the second largest corporate election expenditure after fossil fuel companies. This unprecedented level of spending reflects the industry batch to form the regulations in its favor.
With the end of the elections, there is an expected batch of the states to adopt more friend’s encryption policies, including allowing public retirement funds and treasury to invest in Bitcoin. Some government pension funds such as Wisconsin and Michigan are already Add Bitcoin etfs to their governor. In November, actor Mike Capel Pennsylvania Bitcoin presented Strategic reserve lawAnd he suggested that the state treasurer allocates up to 10 % of the Pennsylvania General Fund, the Rains Fund, and the Government Investment Fund in Bitcoin. After that in December, the representative of Texas Giovanni Kabriglone Proposal Bitcoin strategic bill that will be held for at least five years in a cold portfolio and in Ohio, Derek Mirin has a bill to create a Bitcoin Funding in the Ministry of Governmental Treasury and grants the treasurer in the state with a discretionary power to buy bitcoin.
At the same time, some US They took the initiative in the cryptocurrency and Blockchain. Arizona I looked at legislation to define Bitcoin as a legal tender and allows state agencies to accept encrypted currency payments. Oklala Laws confirm the rights of encrypted currencies for self -need and participate in mining digital assets. Pennsylvania The House of Representatives passed a bill that secures the rights of digital assets for self -need and conducting encrypted currency transactions Louisiana Now it has provisions for the operation of the knot and mining the home digital assets. Recently, it has also provided eighteen US states suit Against the Securities and Stock Exchange Committee (SEC), it seeks to stop its enforcement procedures for organizing the encrypted currency. The states argue that SEC overcomes their authority by trying to organize digital assets without explicit approval of Congress. They claim that such organizational force should be present with individual countries. It is not known whether the courts will be favorable for this legal argument.
On the federal level, at the same time, regulatory clarity is still unfortunately, and Bitcoin classification as a commodity instead of a legal tender that adds more complexity to the organizational framework. This year, CFTC and SEC have increased their enforcement procedures against encrypted currency companies that continue to be aggressive. Approach. Recent legal procedures against Hurricane criticism and Samurai wallet Show the federal government Fears Through digital assets, such as transactions from peers and “unprepared” portfolios that go beyond traditional financial supervision, creates a challenge for the AML / CFT (fighting money laundering / facing terrorist financing), especially when his association with no identification of tools such as mixers. The US market must navigate in a range of different laws in all fifty states, while maintaining everything except for only the most funded operations.
The state level is a major transformation of Bitcoin’s assets when it appeared as an alternative to the traditional financial system. Governments and organizers expressed their concerns focusing on money laundering, tax evasion and criminal use. Bitcoin has chanted the emergence of the strategic bitcoin reserves for states and companies, but the adoption of the treasury does not necessarily lead to greater rights for bitcoin holders. Just because governments carry Bitcoin, it does not mean that they will suddenly be with anyone else who keeps them or decide to give up the strength of the Fiat printer. If political priorities are followed, it appears that the primary goal of the encryption sector this year affects the state’s retirement pension funds and the creation of strategic Bitcoin reserves, rather than obtaining law rights in self -custody or greater privacy.
The strategic reserve is a clear shift from the Bitcoin anti -Bitcoin assets as a currency to an counterpart without mediators, which led it to become only the assets of the Treasury Department. Currencies do not need third parties, as you exchange the currency to the goods and services you want directly. The assets, on the other hand, usually require third parties. In order to obtain good or service, you must sell the original to the currency, borrow against the original, or lend to the original to obtain a return. There are specialists in taxes needed to report gains and losses, accountants to track assets and their derivatives, their lawyers to photograph contracts, police and organizers to impose contracts, banks to issue, keep, and control the currency, and as the political people to write laws and regulations that decide the winners and losers.
Bitcoin as the origin of the Treasury does not pose any threat to the institution. It only enhances the current system and rewards bitcoin holders with high prices. As the origin of the Ministry of Treasury, Bitcoin is not different from gold, pork stomachs or securities backed by mortgage; Just another commodity to be packed indefinitely, derived and trading. On the other hand, Bitcoin as funds of freedom can be kept in particular and processed without the permit challenges in the current situation and can be a powerful tool for financial equality. It enables the individual on the group, and benefits the stadium for these Excluded From the current financial system, it protects people from the inflation robbery, and is already allowed by market powers to identify the winners and losers. Digital gold stored in a safe cellar with financial supervision would address the federal government’s concerns about bitcoin, which would give legitimacy and encourage institutional adoption, but the high prices may deprive what they may lose in the process if Bitcoin continues to follow this path …
This is a guest post from Will Jarger. The opinions that are expressed are completely property and do not necessarily reflect the views of BTC Inc or Magazine Bitcoin.