As the two-week comment period ends, Jerry Brito, executive director of nonprofit crypto policy attorney Coin Center, said comments could make a difference in the final outcome of the U.S. Treasury’s recently proposed ruling on the self-preserved wallet.
Everyone in the cryptocurrency ecosystem should submit a comment to FinCEN explaining how this rule would affect them and pointing out the unintended consequences. Submitting a comment really helps. “
With his likely departure from office next month, US Treasury Secretary Steven Mnuchin is threatening dropped a regulatory proposal on the crypto space on December 18. If passed, the new law would essentially require US-based crypto services to verify the identity of users and their respective wallets when they withdraw more than $ 3,000 in a self-preserved wallet, or if they transfer more than $ 10,000 to another platform.
Instead of the normal 60-day period, the regulatory body left the crypto industry just 15 days for feedback on the proposal. Brito suggested feedback from the crypto industry that could help the situation by extending the deadline.
“Mnuchin wants this rule finalized before leaving office on January 20,” Brito tweeted. “But FinCEN is legally obliged to consider every comment before finalizing the rule,” he added. “If many substantive comments have been submitted, they cannot complete the rule by January 20th.”
If the resolution date of the proposal is postponed after January 20, the bill will remain undecided until the heads of government change places. Postponing the proposal until that date would probably lead to more thoughtful legislation, according to Brito.
“Ideally, you should write a unique, substantive letter describing how the rule will affect you or your business,” he added, pointing to an example suggested on Twitter by Jake Chervinsky, general counsel for crypto project Compound. Comments must be submitted to the Treasury by January 4. Industry people can do that too send in shorter comments via a digital rights entity called Fight for the future.
US regulators have stepped up their involvement in the crypto space in 2020, evident in a number of headlines throughout the year.