RICHMOND—Virginia Crypto Investors Want Lawmakers to Consider Regulatory Policy for the Digital Asset Industry at the 2023 General Meeting, Needing a Framework With Rising Investor Numbers and Recent Market Fluctuations It is said that
Virtual currency exchange FTX submitted It went bankrupt on November 11th. $32 billion in January. FTX founder Sam Bankman-Fried said: statement On Twitter, he said he was “shocked to see things unfold the way they did.”
The company did not have enough emergency reserves to create a “bank run” from customer withdrawals and went bankrupt. according to a statement issued by Rep. Stephen F. Lynch, Democrat of Massachusetts. Lynch chairs the Task Force on Financial Technology.
At least $1 billion in FTX client assets are “currently missing,” according to the release, though multiple reports suggest the total could be much higher.
FTX is headquartered offshore, and Lynch noted the need for “thoughtful regulation” to protect US investors and maintain stability in the digital asset industry.
Only a few Virginia bills related to cryptocurrencies have been introduced to date. Introducing Del. Glenn Davis, R-Virginia Beach House Joint Resolution 153 The bill establishes a one-year subcommittee of 13 members (legislative and non-legislative) to study potential implementations of blockchain technology in government records management, delivery services, information storage, etc. Create and technology has the potential to stimulate the growth of Virginia’s information technology industry.
Del. Karrie Delaney, D-Fairfax, Specification This year, we will create a two-year subcommittee of 20 members to identify opportunities and establish potential regulatory frameworks for cryptocurrencies and blockchain technology.
The Virginia Blockchain Council is a tax-exempt trade organization based in Central Virginia. Its mission is to build communities through education and blockchain-based web technology. websiteThe organization was founded by executive director Greg Leffel in 2017 and has about 1,600 members, he said.
According to Leffel, the cryptocurrency trading group was formed in response to the rise of investors. He said he hopes the General Assembly will address sandbox regulations.
Sandbox regulations ultimately increase consumer protection. Improve business models in isolated software environments such as cryptocurrencies, according to the Financial Conduct Authority. FCAMoreThe FCA regulates UK financial services companies and financial markets
Policies such as sandbox regulations help companies innovate, but they require oversight. According to, cooperation between regulators and companies can be built. FCAMore.
At least 20 states, including Maryland, have passed laws on blockchain technology.some states including Nevada, Arizona When Utah, established a sandbox regulation. This is the latest policy being discussed at the state level, Leffel said.
Two bills were introduced at past plenary sessions to create a Regulatory Innovation Agency to oversee the Virginia Regulatory Sandbox Program.of bill did not go to the legislative branch, medical sandbox regulator Davis’ proposal passed the House. Davis did not respond to multiple interview requests by phone or email.
The sandbox regulation’s main purpose, Leffel said, is to let other businesses and markets know that Virginia is “open to business.”
“This is a signal that we are happy to support. [cryptocurrency] It’s about getting to market,” says Leffel.
According to Leffel, cryptocurrency security is important. Protecting the average investor is paramount, knowing what the product is and what they’re actually investing in, Leffel said.
“People need to understand that there are scammers out there, just like chances in ragpull,” Leffel said.
Lagpull is a cryptocurrency scam where people or businesses hype the value of their products to attract investors and obtain digital coins before closing. “We want to make sure we have a framework to protect our data. [investors]said Leffel. “I’m also a big advocate of how this technology impacts our daily lives.”
Last year, the Virginia Blockchain Council partnered with the Blockchain Club at Virginia Commonwealth University, according to Leffel. According to club president Francesca Bercasio, the VCU Blockchain Club is not just for students. Bercasio is a senior pursuing a degree in financial technology.
“I chose to participate because I believe the capabilities of this technology will cause a lot of disruption,” said Bercasio. I also think the culture the club promotes is inclusive. I have always felt seen and heard. ”
Cryptocurrencies will impact technologies such as engineering, marketplaces and even art curation, especially those that rely on third parties, Bercasio said.
“For example, financial transactions now settle in minutes instead of days,” said Bercasio.
According to Bercasio, the VCU blockchain will expand and connect with more people off campus. She hopes colleges will consider teaching blockchain to increase literacy.
“I would like to encourage VCU to add a cryptocurrency curriculum,” said Bercasio. “Then we start the program through lectures or the Da Vinci Center at VCU.”
The Da Vinci Center for Innovation at VCU is an academic workshop space that fosters innovation and entrepreneurship through interdisciplinary collaboration.
Richmond local and VCU Blockchain member Dave Benz will join VCU Blockchain in 2021, he said. Benz joined because he’s been interested in cryptocurrencies “for quite some time.”
Benz has learned a lot from the members of the VCU Blockchain and is grateful that they have accommodated his lack of knowledge about new technologies.
“They are very knowledgeable and up to date,” says Benz. “I always learn something new when I go [to meetings]”
Benz said he is the oldest member of the VCU blockchain, but he is grateful for everyone’s acceptance.
“Everyone was very friendly and helped me with my lack of understanding,” Benz said. “They are also willing to listen to my thoughts and ideas, which is great.”
Virginia resident and college student Johnnie Walker III invests in cryptocurrencies as a “safety net,” but says he has no other investments.
“By investing slowly over the years and into the future, you can set me to a certain point where I don’t want to work anymore,” Walker said. If there is, I have the money.”
Walker said he started investing in cryptocurrencies in 2017, when he was a senior in high school.
“I’m just riding a wave of market highs and lows,” Walker said. “I made enough money.
Walker wants to strengthen its precautionary and security policies regarding cryptocurrency investments. Walker expects cryptocurrencies to “take off” in the future.
“As long as they continue to develop it, I feel comfortable as an investor,” Walker said. “There will be a tendency to lean towards depositing assets in cryptocurrencies rather than banks.”
Capital News Service is a program of the Robertson School of Media and Culture at Virginia Commonwealth University. Students in this program provide state government coverage to various media outlets in Virginia.
