2020 U.S. President Candidate Michael Bloomberg pledges to build a legal framework for cryptocurrencies

By Selena On Feb 19, 2020

2020 U.S. Presidential candidate Michael Bloomberg has proposed a financial reform plan to prevent future crises, which refers to the issuance of a legal framework for cryptocurrencies.

Source: Content.mikebloomberg.com

Michael Bloomberg proposing rules clarify the status of crypto assets

On February 18, Bloomberg’s election campaign announced a financial reform plan, with a focus on strengthening the U.S. financial system and further strengthening consumer protections. But in the final section, Bloomberg also mentioned the issuance of more specific regulations for the field of cryptocurrencies.

Specifically, the proposal writes:

“Crypto has become a class of assets worth up to billions of dollars, but management has not been developed consistently and comprehensively. Besides the potentials of Blockchain, Bitcoin, and ICO, there are still plenty of scams, bubbles, and criminal activities.”

Michael Rubens Bloomberg is an American politician, businessman, and author

Therefore, the Bloomberg candidate decided to make cryptocurrencies part of the financial reform plan if he became the owner of the White House, committed to establishing a complete legal framework to manage ICOs, identify the agencies that will be responsible for managing, protecting people from fraudulent tricks, clarifying taxation from crypto investment activities, as well as setting conditions for organizations to have can hold this kind of property.

As for what all that will entail, it further explains that the government will create a framework for Initial coin offerings, clarify governance responsibilities, clarify the tax situation of electricity money. And determine the requirements for institutional investors who want to hold cryptocurrencies. It seems that these actions will bring net benefits to the market, potentially confirming the long-term promise of technology. However, it all revolved around the winner in November.

Bloomberg is the latest candidate in this year’s presidential race to call attention to cryptocurrencies. Earlier, two other candidates, Eric Swalwell and Andrew Yang had made similar proposals, but both had announced they were giving up.

Michael Bloomberg is the billionaire at the head of the Bloomberg Media Group of the United States, who had experience in politics when he was Mayor of New York City from 2002 until 2013.

According to the latest poll figures, Bloomberg is currently the second most popular Democratic candidate in the world, behind Bernie Sanders. This billionaire is also said to have spent millions of dollars on his campaign.

In a related development, crypto exchange derivatives exchange FTX introduced a series of futures contracts for the 2020 U.S. presidential election, allowing users to predict whether Donald Trump will continue to have more. The second term or a new character will be the owner of the Oval Office.

Does the U.S. government take a position that is hostile to the cryptocurrency market?

First, President Trump took an active approach to the cryptocurrency market, with the statement that he was not a fan of Bitcoin. Treasury Secretary Steve Mnuchin, meanwhile, declared that the lack of regulation around the fledgling technology constitutes a national security issue.

This hostile approach certainly doesn’t slow down the cryptocurrency market. Still, it also doesn’t help the crypto with tax ambiguity from the IRS besides the lack of institutional participation in markets.

However, if Bloomberg – who is working on a plan on how the government will handle cryptocurrencies – wins the upcoming 2020 election, that will benefit Bitcoin.

I am not a fan of Bitcoin and other Cryptocurrencies, which are not money, and whose value is highly volatile and based on thin air. Unregulated Crypto Assets can facilitate unlawful behavior, including drug trade and other illegal activity….

— Donald J. Trump (@realDonaldTrump) July 12, 2019

Previously, President Trump sent a bashing Bitcoin tweet, claiming that the U.S. dollar was just “really” bad. Trump’s comments seem to have been caused by the big scene surrounding Facebook launching their Libra initiative.

Shortly after the tweet came out, Treasury Secretary Steve Mnuchin held a press conference and stressed that the lack of regulation around the cryptocurrency market was a national security issue, he continued claiming that allowing digital currencies like Bitcoin to work is a crime.

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