Regulating the Unregulatable: The Digital Commodity Exchange Act’s Use- Based Approach to Cryptocurrency Regulation
Becky Powell Since the creation of Bitcoin in 2008, the cryptocurrency market has grown exponentially and remained relatively free from government oversight. Only within the last five years have federal agencies begun to regulate the risks the industry poses. Their response to date, though, has been piecemeal because they lack explicit, statutory jurisdiction over the industry. As a result, the cryptocurrency market faces several risks that threaten to derail its future growth. For one, the industry is a playground for criminal activity, including everything from money laundering to fraud to cyberattacks. The market is also extremely volatile, and consumers have...
The Facebook Diem Project: Can Big Tech Create Its Own Currencies?
Jo-an Chen Cryptocurrencies are rising in popularity as both a means for investment and a medium for exchange for goods and services. In 2019, Facebook announced its intent to create a new stablecoin cryptocurrency called Libra as a means to promote financial inclusion and access to the unbanked population. After its initial failed launch in 2019 due to heavy regulatory criticism over data privacy, money laundering, and financial instability concerns, Facebook is once again seeking to relaunch the Diem Project in 2021. This Essay discusses the potential social benefits, the disruption to financial institutions, and the regulatory challenges that the...