Cryptocurrencies like Bitcoin, Ethereum etc. have been able to get millions of investors so far to invest their money in them. Their combined market value has crossed 2 trillion US Dollars. But, except, El Salvador, all major countries of the world, have not accorded legal status on the cryptocurrencies till date.
In fact, leading economies, by adopting various methods, are discouraging their people from investing in these cryptocurrencies, crypto assets. There have been reports of cryptocurrencies being used as a medium of money laundering, narcotics and other crimes.
Despite no legal status, their values have skyrocketed beyond all expectations. Imagine, what price would they hit if got legal status. So, the leading names in this so-called Crypto industry have been making concerted efforts to get legal status by laws passed in legislatures at every level.
In a report by New York Times, it has been revealed that active lobbying is being done in many States in USA by the main players in Crypto industry to get laws passed in their favor. More startling is the revelation that some draft laws which are to be presented by the legislators in their Parliament to be passed have been drafted by these crypto companies.
Normally, any legislator e.g. Senators or House Representatives in USA are provided staff help to assist them in law making efforts. Chances of laws containing provisions beneficial to larger public are expected to be taken care of if the law is drafted by the people representative with assistance from govt. appointed staff. But, allowing Crypto companies to draft laws for themselves will ensure provisions beneficial to these Crypto companies at the cost of interests of larger public.
The NYT report further says that more than 150 Bills relating to Crypto industry are pending in legislatures of various States. Crypto industry players have collectively been spending nearly $ 1,40,000 every month on lobbying to get these Bills passed in their favor.
Governments, across the globe, have been late in taking note of and responding to Crypto transactions in which a lot of money of people, mostly belonging to middle class, actuated by lure of quick and easy money have been sucked in. Due to complex and risk prone nature of Crypto industry, these investors seem to be trapped in closed circle.
Now, with report of lobbying by Crypto industry to get passed laws favorable to themselves will further put the investors in disadvantageous situation in relation to Crypto industry.
