In the US, the lawmakers have addressed a new bill in order to prevent bigger technology institutions in the nation from issuing cryptocurrencies. The draft bill is currently circulating online and the US House of Representatives have the policymakers have decided to investigate the larger tech firms’ keenness in cryptocurrencies. The draft bill has called the section of “Prohibition related to cryptocurrencies” as “Keep Big Tech Out Of Finance Act.” The cryptocurrency platform may not flourish, sustain, and operate as a digital asset in the large medium of exchange or store of value as per the Board of Governors of the Federal Reserve System.
The bill majorly terms a digital asset as “a positive feature that is subjected and transferred using circulated ledger or blockchain technology such as the virtual currencies, tokens, and coins. It has been scrutinized that the bigger firms with $25 Billion in global annual revenue tend to fall in this category and the violation of the new regulations can result in a fine of more than $1 Million per each day of such violation. However, the bill is just in a draft format and yet to be formally submitted. Facebook has already issued the Libra cryptocurrency on a blockchain and had gained $55 Billion in its global revenue for 2018.
Facebook’s plan is concerning the worldwide regulators regarding how the company will be managing its central banking regulations across the world. Facebook’s Libra project has been criticized by the US President Donald Trump over its standability. The bitcoin and cryptocurrency world has been left wobbling after Trump’s released a mocking attack on bitcoin and cryptocurrencies by branding them as unregulated crypto assets and based on thin air. The bitcoin prices rose immediately after the Trump’s comment went viral and thus, the bitcoin traders and investors are now waiting for more of Trump’s criticism so as to create more awareness of crypto that could push prices up.