Major stakeholders in the cryptocurrency scene, like Coinbase and Square, have formed an alliance to better relate with policymakers and regulators on the subject of crypto regulations. They are joined by other major players in the cryptocurrency scene, such as Fidelity Digital Assets and crypto-focused investment firm Paradigm.
Dubbed the Crypto Council for Innovation, the CCI aims to facilitate constructive dialogue with governments and regulatory agencies about the benefits of cryptocurrencies, according to the details published on the group’s website.
An excerpt from the CCI’s website reads:
“CCI supports governments and institutions worldwide in efforts to shape and encourage the responsible regulation of crypto in a way that unlocks potential and improves lives.”
According to the CCI, effective communication with regulatory stakeholders will help to separate “fact from perception” as far as cryptocurrencies are concerned.
Indeed, anti-crypto rhetorics espoused by regulators around the world often echo misrepresentations about the crypto industry. Back in February, U.S. Treasury Secretary Janet Yellen declared that cryptos were being increasingly used for criminal activities.
Yellen is not alone in such assertions despite existing research showing that the criminal share of global cryptocurrency commerce is less than 1%.
The CCI is the latest crypto-focused lobbying effort to emerge with groups like the Blockchain Association and Coin Center also working towards sensible cryptocurrency regulations.
As previously reported by Cointelegraph, Ripple spent the most money in lobbying efforts in the United States in 2020. The company is currently fighting a securities violation lawsuit brought against the firm by the U.S. Securities and Exchange Commission.
Crypto lobbying groups have recorded some successes in fighting harsh cryptocurrency laws. In India, a coalition of industry proponents under the aegis of the Internet and Mobile Association of India, or IAMAI led the charge against the central bank ban of 2018 leading to a reversal of the diktat by the Supreme Court in March 2020.
Members of the IAMAI are currently trying to convince government officials to adopt a more nuanced approach to crypto regulations in India.