Episode 242 - Clarity Act failure causes BTC to hit new 9 month high?

welcome back to episode 242 of unblocking crypto this week it's just me by myself i was doing a little bit of traveling so let's start out with the exciting news bitcoin went over eighty seven thousand dollars the other day this is a pretty big jump it's probably the largest last time we saw bitcoin eighty seven thousand dollars was back in january of this year if you look at where Bitcoin was about a week ago, right after the Clarity Act failed, it was down about 75,000.

So to go from 75,000 to 87,000 in about a week, that is very exciting.

So speaking of the Clarity Act, it did go fail in its vote in the Senate, 49 to 50, uh, little disappointing i think 11 votes short of the 60 required zero democrats voted yes four republicans voted no although really one of them was to file a motion to reconsider so as of right now and no surprise to anyone the clarity act is pretty much at a standstill what's interesting about all this is it might actually be a huge benefit for what's going on with the SEC and the CFTC.

So the CFTC actually already submitted some crypto market regulation plans to the White House.

So apparently they've been working on some stuff, expecting the Clarity Act to fail.

They're moving ahead.

If the CFTC and the SEC all of a sudden can come up with some rules, I'm not sure Congress is ever going to have enough agreement and anything to change it.

So we might actually be moving much faster now with getting Congress out of the way and allowing the CFTC and the SEC, who are now both very pro crypto, creating some of the rules.

In addition to all of that, they just issued a five-year innovation exemption for tokenized stocks.

So this is exciting to see.

They're going to allow on-chain secondary trading of certain tokenized stocks online.

on a trading and settlement venue, which they did this days after the Clarity Act failed.

So it's really cool to see that this is happening.

They talked about that the exemption has been in development for more than a year.

So they've kind of seen the writing on the wall that they need to get working on it and they're doing this.

the strategic bitcoin reserve was also voted on by the house so the house panel advanced a strategic bitcoin reserve bill that has a 20-year hold time they're calling it the american reserve modern modernization act we've talked about this before it's exciting to see it would begin by handling all the bitcoin that they got in forfeitures and they would have to hold that for a minimum of 20 years and they would also talk about how to acquire more bitcoin in a budget neutral perspective right now that was literally just the house panel for the financial services committee that voted on it and they vote they agreed 28 to 21 so now it has to go to the house and then the senate and then the president so that's still a long ways away from happening It's also a crypto tax bill.

The House Ways and Means advances the first federal crypto tax bill.

We've been talking about them trying to do something like this for quite some time.

If you look at what's going on there, this bill would exclude gain or loss on network and transaction fees of $10 or less.

Which I guess that's great.

$10 or less.

It would be nice to have some de minimis tax exemptions for a little bit larger.

It would also exclude certain US dollar stablecoin redemptions.

It's clarifying some of the mining and staking as ordinary income and applying some wash sale and constructive sale rules to digital assets.

it also expands some broker reporting so it's still i think headed in the right direction that we need to have some sort of regulation if you look at all this that's going on you could argue the the biggest benefactor of all this question marks of what's going to happen in the us instead of the us leading this it's really falling back to dubai and dubai is the country right now that is making it the most clear for