Regulation
Supreme Court Redefines Cryptocurrency Regulation
9:42 ▪ 4 min read ▪ by Mikaia A.
The US’s delay in regulating the crypto industry is no longer a secret. Joe Biden’s unfavorable policy towards digital assets is holding back their development. However, a recent Supreme Court decision could reverse this state of affairs by challenging the authority of federal agencies. Indeed, this decision marks a turning point for the industry, redefining regulatory power and offering a new perspective to crypto companies.
Supreme Court changes the game for cryptocurrencies
While waiting for the The return of pro-Bitcoin (BTC) Donald Trump At the White House, things are changing. Indeed, the Supreme Court Decision in Loper Bright v. Raimondo could well be the boost needed for Revitalizing the Crypto Industry.
By declaring the end of deference to Chevron, the Court redefined the distribution of powers between the judicial and executive branches of the US government.
This decision marks the end of nearly four decades in which courts have had to rely on interpretations of federal agencies regarding ambiguous regulations.
“Chevron’s decision is reversed,” the court declared on June 28, opening the door to more frequent legal challenges to the agencies’ decisions.
SEC and Web3: a contested authority
For the world of Web3 and blockchain, this decision is considered as a real upheavalThe Loper Bright case highlighted the SEC’s tendency to overstep its bounds as a cryptocurrency watchdog.
Joanna Wasick, an attorney at BakerHostetler, pointed out that Loper Bright’s attorney, Paul Clement, had explicitly used crypto as an example to show how SEC overstepped its authority.
The court’s decision could encourage more companies to challenge SEC decisions and could well be a game-changer in cases like Coinbase v. SEC.
The Supreme Court made the right choice, according to Jim Lundy, former chief counsel for the SEC, because deference to Chevron had become too great.
International Perspectives on Cryptocurrency Regulation
In Europe, where the MiCA (Markets in Crypto-Assets Regulation) framework was recently established, the Loper Bright decision is being closely watched.
Annabelle Rau, a Germany-based lawyer, said the move could reduce regulatory barriers by limiting the interpretive powers of an SEC that is increasingly challenged by the CFTC, thereby spurring innovation in digital asset tokenization.
However, a positive regulatory framework also depends on the uniformity of rules interpreted by the courts.
MiCA, although unfavorable to stablecoinsaims to provide clear regulation, balancing innovation and supervision, a goal that the United States could now strive to achieve with this new jurisprudence.
The Supreme Court’s decision opens up new and promising prospects for the crypto industry, providing a unique opportunity to re-evaluate and strengthen regulationCrypto companies can now look forward to a more stable and predictable framework, thereby driving innovation and adoption of blockchain technologies.
Optimize your Cointribune experience with our “Read to Earn” program! Earn points for each article read and access exclusive rewards. Sign up now and start earning benefits.
Click here to join “Read to Earn” and turn your passion for crypto into rewards!
Mikaïa A.
The blockchain and crypto revolution is underway! And the day the impacts will be felt on the most vulnerable economy in this World, against all hope, I will say that I had something to do with it
DISCLAIMER
The views, thoughts and opinions expressed in this article are solely those of the author and should not be considered investment advice. Do your own research before making any investment decision.