Bitcoin: Human Rights Foundation warns of draft law in the USA

  • The Human Rights Foundation (HRF) has issued a warning about the new draft of the Crypto-Currency Act of 2020 in the USA for undermining financial freedom, according to the organization.
  • As the Chief Strategy Officer of HRF says, cryptocurrencies are very important for the future of financial freedom.

Alex Gladstein, Chief Strategy Officer of the Human Rights Foundation, is warning about the Crypto-Currency Act of 2020, a bill presented by Congressman Paul Gosar on 9 March. It is a revised version of a draft bill that first became public in December. It divides cryptocurrencies into three categories: crypto-comodities, crypto-currencies and crypto-securities.

Depending on the category, the Commodity Futures Trading Commission (CFTC), the Financial Crimes Enforcement Network (FinCEN) or the Securities and Exchange Commission (SEC) will be responsible. On the other hand, the draft law also stipulates that providers of cryptocurrencies will be subject to stricter regulations.

Thus, the draft law stipulates that providers of cryptocurrencies will have to establish a traceability of transactions and customers in a similar way to that required by financial institutions with regard to foreign exchange transactions. In Europe, similar regulations have already been adopted by the fifth money laundering directive of the European Union.

Alex Gladstein quoted a section of the bill on Twitter, arguing that any legislation that forces companies to spy or monitor customers is contrary to financial privacy and the protection of democratic freedom. Gladstein wrote:

Beware of the “Crypto-Currency Act of 2020” or any kind of legislation which may force businesses to spy on, deanonymize, or micro-monitor customers. This is an attack on financial privacy, which we will desperately need in the future to safeguard democratic rights and freedoms.

Gladstein also added to his statement, saying:

If you buy any cryptocurrency at a regulated exchange, do you want that company to be giving up your information (NAME bought X amount of Y on withdrew on Z day) to the government without a warrant? Without any probable cause?

As Gladstein said at a conference three months ago, the “criticism and attacks on Bitcoin come from people who have the luxury of a stable financial system. At the conference, Gladstein also explained how the monetary system has evolved and why cryptocurrencies are important for the future of financial freedom.

Human Rights Foundation accepts Bitcoin donations via BTCPay server

A few days ago it was announced that the Human Rights Foundation now accepts Bitcoin donations via the open source payment processor BTCPay Server. The non-profit organization has been accepting donations in Bitcoin since 2014, as well as payments in Ethereum (ETH) and privacy-oriented cryptocurrencies such as Monero (XMR) and Zcash (ZEC). However, the integration of BTCPay Server is the first time they are using a payment processor.

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About Author

Jake Simmons has been a crypto enthusiast since 2016, and since hearing about Bitcoin and blockchain technology, he's been involved with the subject every day. Beyond cryptocurrencies, Jake studied computer science and worked for 2 years for a startup in the blockchain sector. At CNF he is responsible for technical issues. His goal is to make the world aware of cryptocurrencies in a simple and understandable way.

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