The crypto industry is calling for U.S. regulations as the epic failures of FTX drag at the sector and most regulators say they can’t do the job without more powers from Congress. So far, a sound-and-fury campaign from lawmakers hasn’t yet signified a path forward.
The path will almost certainly depend on Sen. Sherrod Brown (D-Ohio), the chairman of the Senate Banking Committee, who concluded an FTX hearing Wednesday with a pointed question:
“Do you think crypto platforms could mostly comply with actual regulations?” he asked of witness Hilary Allen, a professor at American University’s law school who is a critic of the digital assets industry.
“No, I don’t,” she said. “And I think when they’re calling for regulator clarity, what they’re asking for actually is bespoke regulation that they can comply with.”
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