'Legal Ambiguity' To End? Crypto Market Awaits Clarity On Asset Classification

As the U.S. moves toward a more crypto-friendly Congress, industry leaders are considering how regulation might shape the future of digital assets.

Paul Giordano, vice president of digital assets at MARA, shared his thoughts ahead of the upcoming Benzinga Future of Digital Assets event, where he will discuss the potential impact of regulatory changes on the crypto market.

Anticipated Legislative Changes

Giordano expects that U.S. lawmakers will establish clearer classifications for digital assets in the coming years. “We expect clearer classifications of digital assets as well as legislation that defines which assets are commodities (regulated by the CFTC) and which are securities (regulated by the SEC),” he explained. Giordano believes these definitions will create a more predictable environment for businesses, allowing them to operate without the "legal ambiguity that currently exists."

Stablecoin Standards

Giordano also highlighted the need for stablecoin regulation. He expects forthcoming legislation to address requirements for stablecoin issuance, reserve standards, and oversight, adding, “Stablecoin legislation should find some clarity around issuance and reserve requirements, oversight, auditing, and tax.”

By establishing these standards, Giordano suggests that the market can ensure a more reliable framework for stablecoins, potentially attracting new participants to the digital asset space.

Supporting Broader Adoption

With clearer rules and classifications, Giordano believes the crypto market could become more accessible and less risky for investors, for companies like MARA, a predictable regulatory environment could facilitate greater innovation, as businesses would no longer have to navigate uncertain legal terrain.

As Giordano and other leaders prepare for the Benzinga Future of Digital Assets event, expectations are high for legislative updates that could shape the future of digital assets in the U.S.

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As the digital asset market continues to mature, the convergence of regulatory shifts, M&A activities, and adoption trends will define the future of this dynamic field. Benzinga’s Future of Digital Assets event in New York City this November will provide industry leaders and investors with a platform to explore these developments further, offering insights into the evolving regulatory environment and the latest market dynamics.

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