Digital Taxonomy Act of 2019 offers to allocate the Federal Trade Commission $25 million annually to prevent crypto-related crime

The so-called Digital Taxonomy Act of 2019, which United States legislators introduced yesterday, April 9, offers to allocate the Federal Trade Commission (FTC) $25 million annually to prevent crypto-related crime.

The document was introduced to the U.S. House of Representatives by Rep. Darren Soto (D), who is known for his pro-crypto stance. The act is dedicated to the FTC’s role in preventing “unfair or deceptive acts or practices in transactions relating to digital tokens.” It also requires a report to congress on the FTC’s actions related to digital tokens.

According to the current draft of the Digital Taxonomy Act, the FTC should be granted $25 million in funding each year from 2020 to 2024. The commission will use the money to prevent and combat crypto-related crimes.

Moreover, the document gives brief definitions of core crypto terms, such as a token, distributed ledger and digital unit.

If the bill is adopted, the FTC will be obliged to present an annual report on its crypto-related regulatory actions to the Committee on Energy and Commerce of the House of Representatives and the Committee on Commerce, Science, and Transportation of the Senate.

Also read: EU Blockchain Observatory and Forum released a report entitled “Tokenization of physical assets and the impact of IoT and AI”

Source: https://cointelegraph.com/news/new-us-digital-taxonomy-bill-to-allocate-25-million-annually-to-prevent-crypto-crime