Consensys writes a letter to future US president on crypto regulation

Consensys has published an open letter to the next U.S. president in the Wall Street Journal, sharing the crucial role of crypto in America.

This move by the blockchain and web3 software company comes amid the company’s ongoing lawsuit with the Securities and Exchange Commission (SEC).

Consensys shares three imperatives

The letter speaks about three fundamental imperatives for the next administration’s approach to cryptocurrency regulation.

First, it calls for providing regulatory certainty and transparency that avoids overreaching enforcement against good actors.

Consensys emphasizes that while some promote avoiding regulation entirely, clear and workable regulatory frameworks are crucial for a flourishing crypto ecosystem.

“Working with Congress, the next administration and its relevant regulatory agencies must provide—with clarity and finality—pathways for legitimate participation in the web3 ecosystem,” the letter stated.

Consensys also highlighted the difference between U.S. uncertainty and the clear steps taken by OECD countries.

Consensys stresses consumer protection

The second imperative focuses on promoting greater consumer protection while defending against illicit activity.

Consensys acknowledges that illicit activity in the crypto industry remains relatively low compared to traditional finance. However, the company stated the decentralized nature of blockchain tech presents different security challenges.

To address this, the company asks for enhanced education and public-private collaboration.

The third key point talks about the importance of incentivizing ongoing innovation in the blockchain space.

The letter warns that any roadblock to innovation could position other countries to outpace the U.S. in digital development.

“We are at a crossroads in the global development of web3 technologies,” the letter stated.

Consensys noted that the industry has the potential to drive the next phase of the internet, where content, identity, ownership, security, and accessibility are not solely controlled by users.

Consensys’s appeal comes amidst ongoing legal battle

This public appeal comes in the context of Consensys’s ongoing lawsuit with the SEC. Through its lawsuit, the company seeks to challenge the SEC’s regulatory overreach.

The letter represents part of a bigger strategy to engage not only policymakers but also American voters in the discussion about cryptocurrency regulation.

“The foundational elements of crypto are built around deeply American values: personal freedom, economic opportunity, and privacy,” the letter concludes.

Consensys urged the future president to protect and nurture these values through appropriate governance.