Presidential candidate Michael Bloomberg has proposed a financial reform plan to advocate for clearer regulations for cryptocurrencies, among other safeguards against future financial crises.
On Tuesday, the Bloomberg campaign put out a financial reform plan, which comes amid the 2020 Democratic Party presidential primary. In the final section of the proposal, which focused on the American financial system, consumer protection and other areas, the candidate pledged to work with regulators to provide clear rules for cryptocurrencies.
“Cryptocurrencies have become an asset class worth hundreds of billions of dollars, yet regulatory oversight remains fragmented and undeveloped,” he said. “For all the promise of the blockchain, Bitcoin and initial coin offerings, there’s also plenty of hype, fraud and criminal activity.”
As a result, Bloomberg’s proposal suggests clarifying the responsibility for overseeing cryptocurrencies, offering a framework for initial coin offerings, protecting consumers from crypto-related fraud, clarifying taxation on crypto investments, as well as defining capital for institutions holding cryptocurrencies.
Bloomberg is now the latest presidential contender to call attention to cryptocurrency. Two other candidates, Eric Swalwell and Andrew Yang, previously addressed the topic. Both have since dropped out of the race.