U.S. Crypto Rules Delayed till 2024: Courts to Shape Its Destiny

• Cryptocurrency and U.S. Government: A Look Ahead to 2024
• Cryptocurrency Regulations: An Ongoing Struggle
• Predictions for Crypto Legislation in 2024
• Expectations and Challenges for the Crypto Industry
• The Legal Battle for Crypto: A Review of 2024 Cases
• The Impact of Political Changes

Cryptocurrency and U.S. Government: A Look Ahead to 2024

The edgy rapport between Cryptocurrency and the U.S. government is anticipated to see major resolutions in 2024. From the emergence of significant regulations to decisive court case verdicts, the future of digital assets will be largely defined. However, the regulations eagerly awaited by the crypto world are likely to remain chiefly unwritten.

Cryptocurrency Regulations: An Ongoing Struggle

Each passing year appears to be the tipping point in crypto's dealings with U.S. government regulators, but the decisive moment always seems elusive. The industry is eagerly waiting for the U.S. to match the pace of Europe and Southeast Asia when it comes to implementing formal crypto regulations.

The main issue lies within a divided Congress, which has struggled to maintain the federal government's operations. Despite differing views, some members of the House of Representatives from both parties have suggested a potential move forward on crypto bills.

Predictions for Crypto Legislation in 2024

According to Jaret Seiberg, a policy analyst at TD Cowen, it is advisable to moderate expectations. He suggests that crypto legislation's best possibility stands with a package of other financial initiatives, like cannabis banking bill.

The impending exit of Rep. Patrick McHenry (R-N.C.), a notable crypto advocate in Congress, further complicates the future of crypto legislation. Questions arise about the fate of the bills he has been pushing.

Expectations and Challenges for the Crypto Industry

Industry leaders anticipate the green light for spot bitcoin exchange-traded funds (ETFs) in early 2024 by the U.S. Securities and Exchange Commission (SEC). The establishment of these highly liquid, regulated funds on exchanges is seen as an effective method to attract investors.

However, regulatory agencies like the SEC and the Commodity Futures Trading Commission (CFTC) are likely to continue their crypto enforcement agenda with high-profile cases. Companies such as Coinbase and Kraken, currently ensnared in significant accusations, wait for the courts to determine the outcomes.

The Legal Battle for Crypto: A Review of 2024 Cases

The ongoing legal war over cryptocurrency includes the SEC's cases against Coinbase, Binance, and recently, Kraken. The heart of these disputes lies in whether the tokens traded on these platforms are securities.

According to Ripple General Counsel Stu Alderoty, there will be ongoing court losses for the regulator, potentially leading to a Supreme Court showdown. Analysts from Beacon Policy Advisors add that SEC Chair Gary Gensler is likely to continue his regulation-by-enforcement agenda as long as there is no definitive legal classification of tokens.

The Impact of Political Changes

With the upcoming U.S. presidential and congressional elections, changes in the administration could lead to a new set of regulators. The balance of power in the House and Senate could also shift, potentially keeping Congress divided. The actual outcomes of these elections, however, won't unfold until the following year.

In conclusion, the politically charged atmosphere of 2024 might pave the way for a dynamic 2025 in the world of cryptocurrency.

Edited by Jonathan Stoker