Sen. Ted Cruz claims that the crypto just “got screwed,” adding that carrying on with the original text of the legislation on crypto amendment could potentially “inflict billions of dollars of damage” on the fledgling crypto industry.
The result? The Senate’s going to inflict billions of dollars of damage on the growing & exciting crypto industry & drive much of it overseas. There aren’t five senators who understand much of anything about crypto.
What the Senate stated: Let’s tax the hell out of something we know nothing about, so we can pass a giant bill we haven’t read, and spend the American people’s money on stuff we can’t afford. It’s reckless & harmful.
U.S. Senate Majority Leader Chuck Schumer now bears the rage of the cryptocurrency community after blocking efforts to vote on any further amendments to the infrastructure bill.
Will there be any significant changes in crypto amendment?
While negotiations still appear to be in play, there’s only “a small chance” that the restrictive language of the bill will be changed.
The $1 trillion federal infrastructure plan has been blocked due to a measure that would impose severe reporting requirements on all crypto dealers. Several competing amendments have been proposed to save the industry, with the rewrite that was put forward by Senator Patrick Toomey, Ron Wyden, and Cynthia Lummis being by far the most popular ones.
Sen. Rob Portman, who came up with the controversial tax provision, clarified that it wouldn’t include miners, software and hardware developers as well as validators.
The crypto-friendly senators, however, might simply not have enough time since a vote on the amendment has to be held. While Sen. Cynthia Lummis vows to continue fighting for the favorable cryptocurrency amendment, there might not be enough time left to pass it. There’s been a massive mobilization in DC to try to educate senators and members of Congress about the shortcomings
There’s a partisan disagreement on spending, so Dems objected to ALL further amendments. That means NO vote on Wyden-Lummis to lessen the damage this bill will do to crypto, & NO vote on the Cruz amd. to repeal the new crypto rules altogether.
Senator Ted Cruz
In a lengthy Twitter thread, Lummis claims that the Senate will reconvene to convince Schumer to give the favorable crypto amendment another try.
