The US lawmakers passed two new bills, Digital Taxonomy Act and Blockchain Innovation Act, which are incorporated into the Consumer Safety Technology Act.
Representative Darren Soto has put forward both bills in the House of Representatives which are successfully approved. Both Digital Taxonomy Act and Blockchain Innovation Act are part of the Consumer Safety Technology Act and the bills can direct related institutions to stop scam projects while using blockchain technology for public safety and facilitation.
Digital Taxonomy Act
The Digital Taxonomy Act bounds to stop “deceptive acts or practices involving digital tokens” by directing the Federal Trade Commission in this regard. Federal Trade Commission (FTC) is obliged to present a report of “unfair and deceptive acts or practices relating to digital tokens” before Congress.
“The Digital Taxonomy Act adds greater jurisdictional clarity for a strong digital asset market in the United States. The amended version of the original bill highlights the importance of digital tokens and blockchain technology in driving innovation and consumer protection initiatives. The bill directs the Federal Trade Commission to produce a report that would detail how the FTC protects consumers from unfair and deceptive acts or practices and provide further recommendations,” Darren Soto said. “Hearing the opinion of regulators is an important first step to encouraging regulatory clarity with the aims of promoting innovation and maximizing the potential of virtual currencies for the U.S. economy.”
Blockchain Innovation Act
As the name suggests, Blockchain Innovation Act will prioritize blockchain technology in the commerce industry in order to make innovative changes and to curb fraudulent activities thus ensures security. Soto believes that blockchain has “incredible amount of potential for innovation and economic growth.” He further stated:
“I believe our government needs to support that growth, establish light-touch regulations to ensure certainty, protect innovation, stop fraud and enable its appropriate use for government, business and consumers. The study mandated by the Blockchain Innovation Act is a starting point meant to give government agencies a chance to make recommendations before any bills pass with a regulatory effect. These recommendations will perform an educational function to Members of Congress and will pave the way for more actionable blockchain-focused legislation.”