Crypto Regulation News! Gary Gensler Resigning Soon, SEC Sued, Bitcoin Reserve, & Stablecoin Legislation!
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And IT is, you know, historical standard for the S. C, C. Chair to resign if an incoming administration of a different party is coming in around this time, november, december. And so I don't think there is any illusion that he will be there, an inauguration day that went trump is forming, that he will continue to be at the sec, that he will be interested in being demoted to a commissioner. I think the days are numbered.

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to happy friday. Good to be here always cody.

This week I saw the chAmber posted about various meetings with uh, different stakeholder in dc around stable coins. One is particularly that I really caught my interest was the meeting with the federal reserve, however, talks about all these meetings and what was .

the gold yeah we came out with a new report on stable coins on tuesday of this week. Um the whole report is meant to be a lawmakers guide to sound stable coin policy. We believe that stable coins are a huge bone and benefit to the U.

S. dollar. And we think it's good for U. S. National security.

And so we wanted to highlight this in the report and then create recommendations for policymakers so we can finally get A U. S. Regulatory frameworks for stable coin ts.

This seems like low hanging through. It's been something we've been talking about for years now. And so we met with the federal reserve as well as leaders on capital hill, both the house and senate.

Those folks were in the room crafting stable coin legislation and we handed this report and that, right, it's time to act now. And I would say overall, uh, we got by partition and just consents agreement. You're right, it's time to act now.

It's far too long that we're seeing the proliferation of stable coins. U. S, back stable coins across the world. Our report highlights of jurisdictions are using U. S.

Stable points outside of the cypher ecosystem are using for payments per settlements for cross border pay, uh, remitted ces and transactions and to, he said, the only way for the U. S. To continue to lead.

Here is a regulatory frame, and I was pleasantly surprised in the reaction we got that. Yes, total agreement is time to move. And so we're optimistic that we can get something done quickly.

That's amazing. That's great to hear. And I love that it's bipartisan. And you know, I speaks a different stable insures. I literally spoke to the folks at paxos day.

I'm talking to the focus of paypal next week and they all are all saying there's demand for the U. S. The world, the world reserve currency, which is U.

S. dollar. And if you can put that in a stable coin from which faster, cheaper settles instantly, it's a win.

It's a win, win. And I think one of the big things that our report highlights has been what has held up legislation for so long is there needs to be a state pathway unequipped. There needs to be a state pathways in the states have been regulating issues thus far in the united states that if you're issuing a stable point today in the U.

S, you're regulated either as a limited purpose trust company, no slightly in new york. Or you regulated are the money transmission licensing machines across the various states. It's working. It's effective. And so it's been a really interesting dynamic on capital hill where you've got republican saying, hey, this works.

The state should have a role here IT doesn't mean there's no role for the federal government that there is an option that if you want to be regularly by the federal government, you can be and that's in the legislative proposals today. But republicans are joining with new york democrats. It's a really interesting pair and marriage because new york democrat say, hey, we've been regulating, uh, stable coins in new york at the state level.

Let's continue to keep and preserve the state pathway. So that's what we've been fighting for. Our report highlights that, unfortunately, that's where a lot of the disagreement has been, where there are some folks on capital. I know the federal government should be the only regulator after these conversations this week, i'm very optimistic. But any legislation that is enacted likely and I would take early twenty twenty five is my guess will preserve that state pathway um very .

interesting to your point of the states you know have been doing this. New york, the evasive from the mistaken have been a key leader in this space, right?

Oh yeah, they been the leader. Most stable coin issue start in new york. They start either getting a limited purpose trust charter there.

They start by getting a bit license or they go under just the new york money transmission with me. York dfs has been the prominent leader in regulating the space in the absence of federal government action. And that's fantastic.

And so why would we pass any legislation that says, you know what, new york, thanks for your ten years of good work. I know that you have run a sound stable coin market thus far, but we're actually gona completely cut you out of the picture. That's not sensical.

It's working. It's effective. It's one of the most stringent regulatory framework out there, especially if you look at what other jurisdictions are doing in in the europe, in singapore, in dubai. Um it's a great framework, and I think other states are copying that framework. And so we're seeing very sound regulation. And so if I am a not bank entity, percy and I want to issue a stable point and I don't want to be regulated with other level, why would I force them to do so if it's working at the state level? That's what we're fighting against and that's what our report highlights.

Yeah absolutely. That definitely makes sense. And the states and the federal government to be need to be an aligned and IT seems like a simple thing to just have the federal government plugged in, just you can monitor what's happening. But the states are worried, started doing this.

Tony, the problem is simple, doesn't work in D. C. ever. We, I think we talk about simple for a decade, and then someone will, you know, come to me a decade into a conversation like, what if we did IT this way, which is the simple way about, yes, okay. Now we all get IT.

And so i'm hopeful that we're at that point right now or it's like, right, we've been fighting this three years since the president's working group or came out saying we need a stable coin legislation in november twenty twenty one. Exactly three years we've been fighting this. We've been beating this down to death.

Are we all just agreement out because that sounds good. It's working. I'm hopeful we're at that point and we will get a stable coin legislative framework very, very shortly.

So you don't think it's gonna happen in the lame duck. It's gonna happen in twenty, twenty five. We still have some room to get things go.

yeah. I I think the lame duck is really difficult. I think um there's just so many other moving pieces as a congress is you know having leadership elections, we stop to fund the government with government funding expiring in december.

There's not a lot of time we're going we're going to go home for recess and thanksgiving. They're only here for a few weeks in december. And so when you look at priorities ation, I think stable points likely lower on the list.

I also don't think, unfortunately, there is the full by parties in agreement yet. I think the state callers are back at the table with meant ary and waters being in town. You have the huggy bill in the senate and he's looking for democratic cos sponsor.

So I think we're very close. We're in the fine tuning stage, are right. We are all agree.

There should be a framework. We have these legislative proposals that have been out there for several years. We been able to uh marine on them.

We've been able to get industry feedback. We've been able to get our colleagues feedback on capital hill. We're very close to sing, all right, this is the final product or in that five tuning stage. And I think we come into january with the hundred and sixth congress stable coin legislation introduced and likely in both chAmbers vary early on. And I very optimistic that in the first hundred days we can see that move and go to the present present electron s desk.

嗯， exciting. Uh, so since you mention trump, I mean, cody, the lives have been incredible. Uh, we're gonna have a procreate to president. We're gonna procreate do, or the most procreate to congress ever and IT seems the market is reacting positively as cancers gonna out as well. How are you or what are you seeing on your .

end all time ribes IT is all time vibes. If you had said to me that when we talked, I don't know a year ago um that we're going to a procyta president the most procyta friendly congress of all time I would have thought you were a crazy person. I probably won't be back on your progressed again because I would just feel like that's impossible um but it's it's the reality now which is surreal.

And so I think you know we can take this Victory lap right now is an industry we have been able to we have been fighting for just existence and for so long and we have been fighting to say, hey, we have legitimate technology here, we have consumer demand, the U. S. Needs to lead or we're going to lose out.

We've been able to prove that to members of congress. We've been able to prove that to candidates. We've been able to prove that now to whose going into the overall.

Now, the hard work that is, is what is in front of us. We have the program to congress. We have the program to administration.

Now we have to get stopped done. The bar is very, very high now. Expectations are very, very high.

Now i'm seeing on on x and on linked in everyone in the cypher b here's my wish less and it's fantastic and everyone should be optimistic and everyone should have high hopes and expectations. But legislating is still really hard. yes. And even though we will have Better personnel in place, I think more um interested personnel in the technology or open uh personnel in the technology, the F C C C F T C treasury and the likes, we still have to move sound policy.

And so with all the other priorities that will be in front of congress and the trumpet administration coming in, how do we continue to beat the drum to say, hey, crypt, to still needs regulatory clearly because he does, no matter what I think, removing. Gary gan slr is a huge part of the equation, and that opens a lot of doors, removing other road blocks, having a list before and not be in power. And some of the senate democrats like sure around not be in power or removes a lot of the roads.

X now is the time, though, where we need to continue to get organize, make sure that we're going to all of the new members of congress introducing ourselves as a resource, telling them why IT is so critically important, that we move legislation within the first hundred days, but especially the first year, and actually continue to put our foot on the peddle, put IT down and say, alright, this needs to happen now we can't get lazy or complacent because I think it's easy to do so when you're like, oh, we ve got a friendly S C chair. That means these cases are going away and we don't need to do anything. It's not the case.

We have to make sure that if if trump s is out of office in four years and whoever comes in, whether there is a change administration and we don't have friendly personnel, that we are able to pass long standing policies now that would stand the test of time. And that crypto, we can say twenty, twenty five, was the year that we make sure cyp to not only exist in the united states, but throw in the united states. And so that's i'm looking forward to now I think the Victory lap is coming to an end.

And we're leading up to inauguration. We're leading up to the swearing in, in early january of one hundred and ninety. It's time to .

get back to work well put. And I think, folks, to your point, to have to realize that, yes, cancer is out the way. There may not be regulation by enforcement, but we still have to put regulations in place to protect consumers to without scams and bad actors and to let the entrepreneur s feel more comfortable and they know what their swim lanes are.

And until the legislation is through, they won't have that. So yes, they won't be the regulation by enforceable. You need the guidelines yeah.

And it's why other jurisdictions that are perceived to be crypto friendly, if you look in like singapore, if you look in the U A, they're still putting forward cyp to regulatory frameworks and that's why they are perceived to be pro cyp to. And so yes, it's great that we can have personnel, hoo said. I've like Crystal when they were running on the campaign, or you know, trump can I like crept U, I see was running.

But now we have to get that clarity. We have to preserve self custody. We have to make sure that we have increased consumer protections.

So my grandma, when he is buying her first big coin, which was happening recently, which is downright dow loaded, that while I bought her first big one, I was helping out. The first question he asked me is that how do I make sure that this doesn't get stolen, but I don't get hacked? We have to make sure that those protections are in place that requires legislation and regulation.

IT requires a lot of coordination with the industry and the public sector. And so until we can do that, we are still fighting. And once we can do that, that's when some of the Victory labs can really start to take place. And I will be the first one to pop in pain along with the entire industry that we have preserved. They are right for cyp to to not only exist, but to thrive in the united states.

Absolutely a lot. A big question. Everyone who wants to know if you have an answer to one gary answer will submit this resignation letter and who do you think might replace?

I was hoping right now you know yesterday he gave the speech in new york um which a lot of people online perceived to be a farewell speech and I can tell you I was talking to folks were in the room and they had the exact same perspective because know a lot of things can get lost in translation or you could read thing and want read something and want to interpret a certain way and of course I was reading a tank.

I hope it's this farewell speech um but that seemed to be the vive in the room from the people who are there. And IT is, you know, historically standard for the S. C.

C. Chair to resign if an incoming administration of a different party is coming in around this time, november, december. And so I don't think there is any illusion that he will be there in inauguration day that went truck this form and that he will continue to be at S.

C, C. That he will be interested in being demoted to a commissioner. 嗯， i think the days are numbered. I wanna be prize if he was gone by the end the day, if he was gone by the end of the week or if he was gone by before the end of the year. But I think that's the timely i'm looking at december thirty first.

I think he's gone and we likely have a short term uh acting S C C chair which would either be commissioned or crunch a commission's arago. And then come inauguration day, uh, we'll have an acting chair likely either be commissioner Y U. A.

Or commissioner person, the republican side, while the new trump a point is going through the confirmation process. So I think Carry chancellors days are numbered. What does he do in those number of days?

Um I think is the biggest question. Are we going to see more as well as notices? Are we going to see more enforcement actions?

I mean, IT j. Clay in under the last trip administration that on his last day brought the rip case. So I think everything still on the table.

And until he leaves, we're still guessing. And, you know, kind of nervously, anxiously waiting, yes, what could happen next? But his days are numbered.

Now, yesterday there was news that eighteen states out, I was bone away by this, are suing the esc. How over the ecri pto enforcement actions. And so perth, what do you do on that?

Yeah of course that I mean that's, uh what of its first of its time, uh, legal actions for eighteen states to come together and say.

this holiday bmw is reunited. Three members of the family at the bmw wrote home sales event, the adult x three engineer for any adventure, the plug in a hybrid x five commanding the streets with unmatched ence and the all electric I for charging into the future with impactful performance. Korean, define what powers your journey at the bmw wrote home sales bmw, the ultimate driving machine here in for exceptional offers to december of second.

This is bmw USA. I come for details. Whatever the adventure there is, a bmw engineer to take IT on the x three delivers a striking design with ado performance, the one percent electric I packed with pure electric energy plug in hybrid x five and impressive versus S U.

V, granting full control on every journey. Choose what powers your next adventure. During the, bmw rode home sales of IT, bmw, the ultimate driving machine, ran for exceptional offers through the cement. Second, this A B M W USA. I come for details.

Hey, what the S, C, C is doing with this industry is regulatory overreaches. This does not make any sense. There has been no delegated authority to the S, C, C to say every cyp to asset out there is a security accept decline.

Where did that come from? Oh, that just came from the mind of gary gancy. Or or, and that's legally not sound.

And so shout out to those eighteen states, those eternity general for willing, eternity general for willing to put that out there and to put their names on illegal action to shoot the S. C four, there are constituents or crypto advocates or the crypt to holders like my grandma, like me, like you. Whoever who was just saying we need regulatory clarity.

We've been fighting for this for so long. We're not asking for some kind of the exemption for laws. I think that's always one of the biggest understandings.

We're not anti regulation. We're not asking to be treated differently. This is just digital assets are different than typical securities. When the nineteen thirties, security laws were red, right, digital asset couldn't have been comprehended. Then we're asking for the laws that are just tailor fit to digital assets to the technology. And so while we are waiting and while we are can continue to get beat over the head with enforcement actions and having bad, you know information or media headlines, I should say these states, we're saying enough is enough.

I'm glad I finally came now um you know I would have been nice few years ago, but i'm very glad I finally came now and saying we're going to fight for our constituents in our state who are holding cyp dou and so shout out to eighteen states, shout to the defy education fund that I know is working with them. IT is an incredible effort just to organize eighteen people. I can barely get eighteen people to come to my house for like a birthday party so just shout out time to do at the state uh attorney general side um it's an awesome case.

I really look forward to where he goes to see how the courts rule um when states are involved to see how they rule of for clarity is my hope so it's it's an awesome action. I think everyone should go on and read the complaint because I think it's really damming to how the S. C, C is treated this technology and just see huge shadow to them into the defi education front for the work here.

Pony, I I don't want to get too political, but I I think we have to talk about this and there's a lot of issues. People vote foreign elections where ecr pt is usually not the number one for the masses. But man crypto was a ballet item this uh cycle and the democrats while ocean say all democrats but specifically Elizabeth warn um with this crazy agenda anti crypto army IT seems like this was a big part in how the democrat lost election because script u was a big spender in this election and the only reason they were is because of the many overreach and unlawful activities of Warren and dancer in all these people.

Yeah it's it's naive to ignore IT and cypher s impact on the election. I think it's interesting. I I think the gypt to single issue voter is real and that is not something we could have said in previous elections.

We did a national of digital chAmber several weeks ago that said one in seven voters said the candidate's position on cyp du would impact their vote. That's massive. And if you do look at how tight these races were, you look at the the pencil vanion senate. You look at some of the the house races if you want to say, yeah crypto wasn't determining factor was obviously much bigger social issues on the ballot. That's fine.

But if a candidate like dave mccoy in pensylvania is onna win by several thousand times in a huge state, you don't think his opinion being program to and the incoming bob casey being on central warns, digital laser, any money longer act or crypto band bill didn't make a difference. But if one of if there is truly one in seven voters care about crypto o and that's impacting their race or impacting their vote, you don't think that made a different to these really tight marginal actions. IT absolutely did.

And so I think democrats aligning themselves are fAiling to stand out um or stand up against Elizabeth Warren and take a controversial opinion from what the parties opinions but warns opinion and with the biden administration, can you men? I really did the entire party at the service yeah and I think you look at those candidate who stood up for digital assets or the last congress. You look at how well rich toria performed.

You look at how cute n gila brand performed, outperforming commoner Harris at the state level in the district. You look at a candidate like dawn Davis from north CarOlina, A A democrat on the house agriculture committee, who has been a huge advocate for this industry, was not projected to win his race. IT was like looking like a republican seat, and he outperformed the national polls.

He output from the state polls, and he won his race. And so digital assets and crypto might not have been the on the issue on the about. They certainly warn, and i'm sure it's not what most people voted for. But IT was a factor and IT was a huge factor.

And I hope IT shows that if you are going to run on an anti crypto army ticket, which was still one of the dumbest things i've ever seen in my entire life, if you're going to run on that ticket, you're doing yourself a huge service. Because americans care about this, and americans always vote with their chat book, which now is funny to say, checkbook. But they vote with their wallet.

They vote with their wallet and their voting with their crypto. O I, yeah. And it's a real thing because people don't want you to mess with their finances.

And that's what democrat were doing. And I never understood the position. I think I was social cited. And hopefully this election proves that and that i'll be rooted out for good.

And we can go forward with this being a truly bipartisan issue where we are just talking about the technology and republicans and democrats are standing side by side. And every election across the country going forward is a republican saying I pro cyp to and a democrat probably saying i'm procreate to. And then we actually are talking .

about the other issues. absolutely. Yeah, well put. And you know there's the layer of the we ignored.

There's economic hardships going on with inflation. And so and that's not specific democrats obvious. Ly, there's a lot of money those printing twenty, twenty, we're feeling something after effects.

And so for but an avenue that people saw, hey, I can probably get some sort of return, make my level bit Better by investing. But you're trying to the role block that investment. So it's not even like egypt.

So yes, that's my interest. But the fact you're trying to stop me from battering my life is kind of the underlying toner thing. So say what are you doing so so bad is such a horrible decision. What are you doing .

um and I I think that goes back to like wio is a bit warn took this position to begin with. I mean, I think all ethos is more government is good and more government control is good. And I what I think boat stood up against in this election was do not control how I spend my money or how I earn my money.

And that is what they've been doing with crypto for so long. We don't want you to have access to this investment tool. We don't want to have access to this payments to all that could be an inflation hedge.

Why not? And if so, if you've been sitting on the sidelines for so long, you're democrat, you've been interested in crypt over you're saying, you know what, I don't want to invest in bitcoin because my senator is is with warn tells me it's only for fraudsters and scammers when I could have about bitcoin at one dollar or six hundred dollars, fifty thousand hours. And I am sitting here and I listen to her and I am seeing all these institutions get involved over the year.

I'm seeing more and more democrats and republicans joined together to support this technology. And now i'm seeing bitcoin at ninety thousand. And I missed out because my center told me he was dangerous.

And that clearly is not true, and there's a ton of reasons to provide is not true. And my senator is also held up legislation and proposal policy proposals that would make IT safer and more accessible for me, where the U. S.

Can lead, where I don't have to worry about offshore things going on that could be shade or scammy. I would be really pissed off. And I think voters proved that they were really pissed off.

And hopefully now the eliza's warns of the world who were reelected or those democrats that were not on the ballot this time but are running in twenty, twenty six and twenty twenty eight and beyond, say, that was the wrong position. Let me take a step back and let me rethink how I think about critter. U.

absolutely. You know, i'll give a just anecdotal evidence, even in my pool of family and friends, democrats and republicans, guess what, when they are looking to investing crypto and investor, you're not thinking all, uh, is this a democrat acid or or at they're just trying to Better improve their lives. Everybody is going to improve their livelihood and they're investing and things I get. And elisabeth warn made this political that had to be in the conversation when the average joe doesn't care to just they're trying .

to just you you just said IT really well because IT seems that seems so crazy to me that we would think this is a republican asset or democrat asset like that that was put so well because that's insane. But that's how eliza's warn made this yeah and that's how like White democrats made IT this way and IT became and IT never needed to be that way. And I hope I never is that way again.

Absolutely final item here if I let you go. Bitcoin strategic reserve.

Yeah.

this is crazy, man, because I saw the one got put fourth in pending vania yesterday, and then we ve got the major bill in the federal level. What do you think you think this thing .

could pass next year? I think you could. I you know i've talked to center the lumbers over the last few weeks.

This is her number one priority. That is not a joke that he is not just saying that for twitter likes, he is not just grafting. This is her number one priority.

SHE believes that this is as a bitcoin strategic reserve, is a real way to help produce the debt of the united states, which has not happened in a long time, and we need to find innovative mechanisms to reduce the debt. Because where we are going, having trillion lions of dollars a dead that are adding every year is unsustainable. And he believes this is a real way to help produce that for our future generations.

And with the power, SHE will have unlikely leading a digital asset subcommittee on senate banking and just the voice he has been for this industry and with a republican president who is said he is embracing this idea. I think there is a great chance that this can move very early uh, next year. And if you know, I give all the card in the world, the center limits, I give all the card in the world to the state.

Lawmakers that are looking for creative solutions, innovative solutions to reduce are to mitigate a problem that has impacted us for so long. And the bitcoin strategic reserve could be just that. I think IT is developed online into some kind of just like headline um and not a little people a lot of people know what IT takes.

So what like is actually means, but I think IT is a sound policy. I think it's creative and let's try IT because if we're not going to do IT ah in the U S, whether at the state level, the federal government, I think other jurisdictions already starting to look at IT. It's a finite asset.

It's like gold. And if other states can start to take this and make sure that they can invest, the united states sitting on the sidelines is is poor form and IT creates national security risk IT is economic risks. And so I I really do think that the big coin acts um and able see other states moving strategic reserves in twenty .

twenty five man cody, I feel like we're at the dawn of the next .

britain woods and become all time boah baby.

awesome code. Always a pleasure. Thank you for the insights and knowledge. Man.

thank you so much. Yeah, thanks so much. tony. good. see.

Whatever the adventure there is, a bmw engineer to take IT on the x three delivers a striking design with ado performance, the one hundred percent electric I 4 packed with pure electric energy， or the plugged in a hybrid x five. And impressive versus S, U. V, granting full control on every journey.

Choose what powers your next adventure. During the bmw rode home sales event, bmw, the ultimate driving machine for exceptional offers to december second. This is bmw USA. I come for details. This holiday, bmw is reunited.

Three members of the family at the bmw wrote home sales event, the eul x three engineers for any adventure, the plug in hybrid x five commanding the streets with unmatched ence and the all electric I for charging into the future with impactful performance. Korean to find what powers your journey at the bmw, wrote home sales bmw, the ultimate driving machine here for exceptional offers to december second. This is B, M, W, USA outcome for details.