Senator Ted Cruz of the U.S. Congress has submitted a bill to revoke the $1 trillion infrastructure crypto provision section, which he said is a “devastating attack” on the crypto industry. “I urge my colleagues in the Senate to repeal this harmful language that will create regulatory uncertainty and in turn an unnecessary barrier to innovation,” he said.
U.S. Senator Ted Cruz said on Tuesday that a bill to revoke the earlier accented infrastructure bill has been submitted because this bill will be a “devastating attack” on arising cryptocurrency industry.
Senator Ted Cruz clarified that the bill he submitted would cancel an unduly cast and poorly-crafted provision from the infrastructure bill that establishes new reporting requirements for many players within the blockchain industry.
Read also: Infrastructure Bill Finally Signed Into Law
This requirement will suppress innovation in the industry, endanger the privacy of many Americans and cryptocurrencies, and it will likely push important aspects of the industry overseas to other welcoming countries, he said.
The infrastructure investment and jobs Act comprised a provision that enlarge the definition of a broker to almost all participants in the structure of cryptocurrency, thereby treating them as a financial institution. They would have to report consumer private information to the Internal Revenue Service (IRS), even if these cryptocurrency participants do not have access to that information.
The Senator who represents Texas explained further that his state is emerging as the main hub for the cryptocurrency industry in the United States and that the innovative industry is now in danger of being repressed and pushed overseas “by an overreacting provision in this newly-signed, reckless spending package.”
A small number of lawmakers have also made efforts to modify the crypto provision in the infrastructure bill. For example, Senators Cynthia Lummis and Ron Wyden inducted legislation earlier this week to rectify the “broker” definition in the infrastructure investment and jobs Acts.
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