Senate Introduces A Game-Changing Crypto Bill As Price Of Bitcoin, Ethereum, BNB, XRP, Terra’s Luna, Solana, Cardano, Dogecoin Turn Mixed

After last week’s rout, the crypto market turned mixed.

The price of bitcoin gained 1.6% and ethereum’s price budged a few basis points higher this week. Cardano
ADA
is up 22%, XRP 2.5% and solana 3.6%. On the bearish side, dogecoin fell 3.5% while BNB
BNB
3.4%, while Terra’s “luna 2.0” is down a staggering 40%.

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Meanwhile, this past Tuesday Republican Cynthia Lummis and Democrat Kirsten Gillibrand introduced what many call a “landmark” crypto bill. Named the Responsible Financial Innovations Act, the bipartisan legislation aims to finally clear up the biggest regulatory questions hanging over digital assets.

“The bipartisan Responsible Financial Innovation Act is a landmark bill that will establish a regulatory framework that spurs innovation, develops clear standards, defines appropriate jurisdictional boundaries and protects consumers. Importantly, the Lummis-Gillibrand framework will provide clarity to both industry and regulators, while also maintaining the flexibility to account for the ongoing evolution of the digital assets market,” said Senator Gillibrand

[Ed note: Investing in crypto is highly speculative and the market is largely unregulated. Anyone considering it should be prepared to lose their entire investment.]

Zooming out

Here’s a run-through of some of the key provisions in the legislation.

• The Responsible Financial Innovation Act seeks to classify digital assets into securities and commodities and regulate them accordingly. This will “give digital asset companies the ability to determine what their regulatory obligations will be and giving regulators the clarity they need to enforce existing securities and commodities trading laws.” For example, bitcoin and ether, which fall into the “commodity” bucket, would be regulated by the Commodity Futures Trading Commission (CFTC).
• The bill would lighten the tax burden…