State lawmakers urge Democrats to support crypto regulation

Maryland Delegate Adrian Boafo and New York Assemblyman Clyde Vanel have urged top Democratic lawmakers to establish a federal cryptocurrency regulatory framework.

The lawmakers cautioned in a letter that inconsistent state laws might impede financial innovation. They addressed Senators Elizabeth Warren and Amy Klobuchar, as well as Representatives Maxine Waters and Angie Craig, highlighting the necessity for comprehensive legislation during the 119th Congress.

The lawmakers highlighted New York’s regulatory leadership with its BitLicense program and digital currency task force, alongside Maryland’s recent legislative efforts. 

They pointed out that at least 35 states, Washington D.C., and Puerto Rico have introduced crypto-related laws, creating a fragmented regulatory landscape.

Limiting financial freedom for Americans

“Without federal action, this fragmented approach will only grow, creating uncertainty for businesses and limiting financial opportunities for millions of Americans,” they wrote. 

Boafo and Vanel stressed that federal inaction leaves consumers vulnerable to fraud and market instability. 

They also noted that crypto adoption is growing, particularly among historically underserved communities, citing the Kansas City Federal Reserve’s finding that Black investors are more likely to own cryptocurrency than traditional stocks.

The letter called for a bipartisan framework to protect consumers, support responsible innovation, and maintain the U.S. as a leader in digital finance.

The letter was first reported by Crypto In America.