
Cryptocurrency Act 2020 Thoughts? - Darrencrypto1
The Cryptocurrency Act 2020
The Cryptocurrency Act 2020 begins with the categorisation of cryptocurrencies into three main groups. These groups are then used to determine which agencies are responsible for the creation of regulation and legislation. The first class described in the new bill is cryptocurrencies.<p>The crypto class includes Bitcoin, Litecoin, and any other cryptocurrencies that don’t fall under the current securities regulations. The bill classifies these tokens as any digital asset that “includes representations of United States currency or synthetic derivatives resting on a blockchain or decentralised cryptographic ledger”.<p>Smart contracts and oracles fall under the cryptocurrency category as well.<p>The next class described in the bill is crypto-commodities. A key aspect of these tokens is the fact that they contain some form of substantial fungibility.<p>Fungible assets are interchangeable, such as the USD. These assets must reside on a blockchain or decentralised cryptographic ledger to fall under this classification.<p>The final type of coin described in the bill is crypto-securities. These tokens are simply any coin that fails the Howey Test.<p>The three regulatory bodies mentioned in the bill that will oversee the cryptocurrency space include the Commodity Futures Trading Commission (CFTC), the Securities and Exchange Commission (SEC), and the Financial Crimes Enforcement Network (FinCEN).<p>These groups will gain sole authority over their respective digital asset types.
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mtmail
The text seems copy&paste from this news article [https://coinrivet.com/what-
to-expect-from-cryptocurrency-leg...](https://coinrivet.com/what-to-expect-
from-cryptocurrency-legislation-in-2020/)

Darrencrypto1: the submission form can be confusing. For articles you'd fill
out URL and title and then you can leave a comment later. Though 'what are
your thoughts?' is implied because people submit articles to start a
discussion.

