Wanted: Florida Seeks Cryptocurrency Chief
According to a press release issued by the office of the Florida Chief Financial Officer Jimmy Patronis, the state needs to provide more oversight of the cryptocurrency industry. To address this need, Patronis has created a new position: cryptocurrency chief.
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Overseeing ICOs and Cryptocurrency
Florida is no stranger to cryptocurrency, and Patronis claims that there is a major need for government involvement to ensure the lawful adoption and growth of ICOs and cryptocurrency across the state.
The state’s CFO explains, “Florida can no longer remain on the sidelines when it comes to cryptocurrency.”
“I have directed my office to create a position that will oversee how current securities and insurance laws apply to Initial Coin Offerings (ICOs) and cryptocurrencies as well as shape the future of these regulations in our state. ICO and cryptocurrency companies based in Florida will also be required to register with the Office of Financial Regulation (OFR) under the supervision of the cryptocurrency chief. The new position will coordinate the efforts of OFR and Office of Insurance Regulation (OIR) regarding the development of policy, legislation and regulation.”
Cryptocurrencies Becoming Increasingly Common in Florida
With multiple transactions across Florida increasingly involving cryptocurrency, such as the Seminole County Tax Collector announcing that they will accept bitcoin and Bitcoin Cash as payment for various services, and Florida State Representative Candidate Raphael Socher accepting Ethereum campaign donations, the establishment of a cryptocurrency chief position will help coordinate the efforts of the Office of Financial Regulation (OFR) and the Office of Insurance Regulation (OIR) in the development of policy, legislation, and regulation.
“We cannot allow the cryptocurrency industry to expand in Florida unfettered and unchecked with the potential for so many, including our large population of seniors, to be exploited. By taking an active, comprehensive and balanced approach, our state will provide an appropriate level of scrutiny for emerging digital asset technologies. It is absolutely essential that Florida create safeguards to protect our consumers from fraud.”
Protecting Floridians From Cryptocurrency and ICO Scams
With high profile cryptocurrency-related legal actions involving Florida, such as the Alabama Securities Commission sending a cease-and-desist order to Miami-based Platinum Coin to prohibit the company from issuing securities within Alabama, as well as the arrest of two founders of Miami-based cryptocurrency startup Centra Tech, the state of Florida is taking active steps to create safeguards to protect consumers from fraud.
Patronis concludes the release by saying “The establishment of a cryptocurrency chief in the state will help protect Floridians from scams. Understanding the risks and benefits of this emerging industry will benefit Florida consumers. My goal is to keep pace with demand and not deter innovation while monitoring for fraudulent behavior and scams.”
How do you feel about Florida creating a cryptocurrency chief? Is this position necessary or is this move an example of government over-regulating the space and possibly stifling innovation?
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