Regulators Struggle to Support Cryptoassets Amidst Lack of Clear Laws

US regulators are taking steps to boost cryptoassets, but their efforts may be hindered by a lack of clear Congressional support. The Clarity Act, which aimed to codify rules for digital-asset markets, was recently voted down in the Senate. This setback comes as Securities and Exchange Commission Chair Paul Atkins has pledged to plow ahead with supporting digital markets despite the absence of durable laws.

The agency's first move was giving a green light to trading digital versions of listed company shares on Thursday. Meanwhile, the Commodity Futures Trading Commission sent a proposal to regulate crypto transactions and markets to the White House for review. The watchdogs' initiative has been met with mixed reactions, with some cheering them on while others have expressed concerns about the lack of clear laws.

The situation is seen as a mess by many, with the lack of Congressional support discouraging traditional investors and institutions from putting their money at risk in the crypto market. The Supreme Court's recent decision to undercut agency rulemaking powers has also added to the uncertainty.