The discussion of the committee was centered around how to tackle the issues circulating the ICOs and somewhat on the need for the regulatory measures with clarity.
Yesterday on Wednesday, March 14, House Capital Markets, Securities and Investment Subcommittee met in order to have an overview of the cryptocurrency market and the measures that need to be taken going further. The hearing that went on for two hours saw most of the Congress members being extremely critical and bashing virtual digital currencies, while some also talked of the regulatory measures to be taken to protect investors interests.
The opening statement by Rep. Brad Sherman (D-Calif.) was quite are harsh saying “Cryptocurrencies are a crock. “They allow a few dozen men in my district to sit in their pajamas all day and tell their wives they’re going to be millionaires.” Besides this Sherman expressed a series of concerns for the increasing use of cryptocurrencies in illicit activities as well as a means adopted by startup companies to commit fraud.
The committee had basically gathered to discuss the scenarios around Initial Coin Offerings (ICOs) which is a decentralized way of fundraising used by many startups and companies to raise capital for their businesses and products. Bashing the crypto community, Sherman said that they have been falsely using the term ICOs to “lie to the public and convey the image that is like an IPO.”