{"id":322006,"date":"2021-08-11T21:07:00","date_gmt":"2021-08-11T18:07:00","guid":{"rendered":"https:\/\/en.buradabiliyorum.com\/broker-licensing-for-us-blockchain-developers-threatens-jobs-and-diversity\/"},"modified":"2021-08-11T21:07:00","modified_gmt":"2021-08-11T18:07:00","slug":"broker-licensing-for-us-blockchain-developers-threatens-jobs-and-diversity","status":"publish","type":"post","link":"https:\/\/buradabiliyorum.com\/en\/broker-licensing-for-us-blockchain-developers-threatens-jobs-and-diversity\/","title":{"rendered":"# Broker licensing for US blockchain developers threatens jobs and diversity"},"content":{"rendered":"

“# Broker licensing for US blockchain developers threatens jobs and diversity <\/strong>”
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United States lawmakers will soon destroy a massive opportunity for job creation and a diverse workforce in blockchain technology<\/a> if they do not amend infrastructure bill HR 3684, which would require blockchain developers to attain broker status on U.S. soil.<\/p>\n

HR 3684 does not recognize the taxonomy of the asset class. Not every crypto asset falls under the definition of security \u2014 many are transactional tokens and used as consensus mechanisms essential to distributed ledger technology. Requiring broker status for every blockchain developer indicates that U.S. lawmakers have yet to understand blockchain technology or cryptocurrency\u2019s complex and diverse set of use cases.<\/p>\n

Related: <\/em><\/strong>Cryptocurrency mining under proposed US policy changes<\/em><\/strong><\/p>\n

“Blockchain enables us to build a new decentralized economic system, which will fundamentally change how people save and use their assets and money,\u201d Jane Thompson, a futurist and blockchain social<\/a> impact leader, shared with me. \u201cHowever, there is nothing inherently financial to blockchain and the functions and features of a digital asset should determine its classification. This is an ill-informed and short-sighted bill and will continue to lock excluded groups out of an economic system already steeped in privilege.”<\/p>\n

Blockchain is democratizing access to finance and new forms of digital enterprise. Its low barrier to entry has empowered people from different backgrounds all around the world to participate in this growing decentralized digital economy.<\/p>\n

Related: <\/em><\/strong>Women, decentralization and the world\u2019s economic drive: Experts answer<\/em><\/strong><\/p>\n

These pioneers are not the usual players of banking and Wall Street. Still, they have become respected developers, fintech entrepreneurs, innovators and advisors because of the opportunity that comes with the burgeoning blockchain industry. Never have we seen so many people from all walks of life participate in investing, trading and the use of digital assets. <\/p>\n

The costs of initial and continuing education \u2014 plus the licensing and business expenses that can come with broker licensing \u2014 are nearly unattainable to most Americans, especially among lower socio-economic groups.<\/p>\n

The learning curve of trading doesn\u2019t help, especially since developers aren\u2019t necessarily traders. It\u2019s like requiring a doctor also be a lawyer, just to practice as a doctor legally. U.S. broker exams, especially the Series<\/a> 7, are known to be extremely difficult and can require months or years of studying to pass.<\/p>\n

HR 3684 is contradictory to the existing parameters of fintech and traditional finance. Why would blockchain developers be treated like brokers when they don\u2019t have to manage client assets? Quant developers or even the standard developers working for online payment platforms like Paypal aren\u2019t required to have broker licensing in the United States.<\/p>\n

Regulation is essential in protecting consumers and the economy, but this ill-informed attempt to create a legal framework around crypto will only send industry leaders of all backgrounds, companies, and jobs overseas in a time when America needs job creation the most.<\/p>\n

The U.S. Senate has app<\/a>roved HR 3684, despite the lack of an amendment, proposed by six senators earlier this week, which were aimed at clarifying the crypto language in the bill. It will move to the House of Representatives before reaching President Biden for final signoff.<\/p>\n

The views, thoughts and opinions expressed here are the author\u2019s alone and do not necessarily reflect or represent the views and opinions of Cointelegraph.<\/em><\/p>\n

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Erin Grover<\/strong> is the head of blockchain social impact strategy for Jacobi Asset Management, with a specialty in crypto assets, crypto funds and algorithmic trading. She is a brand ambassador for Icoinic Capital and an advisor to the Akasha Innovation Hub, a blockchain accelerator established by Ethereum co-founder Mihai Alisie. Her prior work includes content strategy for the United Nations, USAID and similar NGOs in Afghanistan, East Timor, Cambodia and more.<\/div>\n<\/div>\n