Michael Saylor, executive chairman of Strategy, is asking US lawmakers and regulators to clearly define how digital assets are categorized.
During his company’s second-quarter earnings call on July 31, he stressed the need for clear rules that explain what counts as a digital security or commodity, and when it is legal to turn a security into a token.
Saylor said during the call, “My opinion is it would be beneficial to the market if they nail down the digital assets taxonomy”.
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He added, “Under what circumstances can you tokenize a security? What is digital security? If they can clarify a digital commodity, what is an asset without an issuer versus a digital token?”
Saylor warned that without clearer definitions, confusion will remain about who can issue which assets.
He gave an example of what simpler rules could make possible:
In the ideal world, 40,000,000 businesses would be able to issue a token in four hours for $40.
On July 30, a White House group focused on digital asset markets urged federal agencies to speed up work on rules for custody, trading, and record-keeping.
SEC Chair Paul Atkins noted on July 31 that many companies building token-based systems are doing so outside the US due to the current regulatory environment. He said, “Companies are lined up at our doors with requests to tokenize”.
Recently, Strategy introduced a new plan to raise money for its ongoing cryptocurrency investments. What does the plan include? Read the full story.
Having completed a Master’s degree in Economics, Politics, and Cultures of the East Asia region, Aaron has written scientific papers analyzing the differences between Western and Collective forms of capitalism in the post-World War II era.With close to a decade of experience in the FinTech industry, Aaron understands all of the biggest issues and struggles that crypto enthusiasts face. He’s a passionate analyst who is concerned with data-driven and fact-based content, as well as that which speaks to both Web3 natives and industry newcomers.Aaron is the go-to person for everything and anything related to digital currencies. With a huge passion for blockchain & Web3 education, Aaron strives to transform the space as we know it, and make it more approachable to complete beginners.Aaron has been quoted by multiple established outlets, and is a published author himself. Even during his free time, he enjoys researching the market trends, and looking for the next supernova.
