7 Days To Go: Paxos CEO Pushes Harris And Trump For Clearer Crypto Guidelines

As a seasoned researcher who has witnessed the rapid evolution of technology and finance, I wholeheartedly concur with Charles Cascarilla’s call for a modernized financial infrastructure. The outdated nature of traditional banking systems is glaringly apparent when we consider that 20% of Americans remain unbanked or underbanked despite the widespread adoption of smartphones. This disparity underscores the urgent need to embrace innovation and harness the potential of blockchain technology, digital assets, and stablecoins.


As an analyst, I’ve recently penned a letter to both Presidential hopefuls, Donald Trump and Kamala Harris, emphasizing the pivotal role the incoming administration will have in shaping America’s stance within the cryptocurrency and global financial arenas.

Paxos CEO Advocates Modern Financial Infrastructure

Cascarilla emphasized that today’s global financial system is “old-fashioned and ineffective,” suggesting it’s time for a fresh look at how financial services are delivered. He highlighted the fact that while our economy has advanced significantly thanks to technology and the internet, traditional banking hasn’t kept pace with this progress.

It’s worth noting that even though a vast majority (95% in the US and 70% globally) now own smartphones, a significant portion (20% in the US and 40% worldwide) still lack access to traditional banking or have limited services due to being unbanked or underbanked.

Currently presents itself as an ideal moment to reconsider strategies for innovation, which could help peel back the layers of mystery surrounding finances, intricacy in the system, and potential dangers that hinder economic growth, according to Cascarilla. This perspective calls for a contemporary update to our financial structure.

As per Cascarilla’s viewpoint, blockchain technology and digital assets are transforming the way our financial system operates, making transactions secure and transparent on the internet.

He underscored the importance of stablecoins—digital representations of US dollars using blockchain technology—as essential upgrades for the payment system. “This is not a far-off and hypothetical future. It is happening right now,” he asserted, emphasizing the urgency for regulatory clarity.

Bipartisan Cooperation Needed To Address Regulatory Issues

As a researcher, I’d like to point out an interesting fact: In 2015, Paxos became the first American company to be granted a Limited Purpose Trust charter by the New York Department of Financial Services. Furthermore, under the leadership of its CEO, Paxos has spearheaded the release of stablecoins backed by the US dollar, which are subject to prudential regulation.

Despite these advancements, Cascarilla lamented that the US has become increasingly “inhospitable” to financial innovation. He cited numerous examples of regulatory overreach, burdensome banking policies, and unnecessary legal actions that have hindered the growth of Paxos and its peers. 

According to Cascarilla, a number of corporations have felt pressured by what he calls a “hostile climate” in the United States, leading them to look for regulatory certainty elsewhere. Countries such as Singapore, the UAE, and the European Union are taking advantage of perceived mistakes made by the US by creating favorable regulatory conditions.

Cascarilla cautioned that if U.S. authorities, decision-makers, lawmakers, and the incoming administration do not endorse blockchain and digital assets, our financial sector’s future could be in jeopardy. He pointed out that without favorable policies, resources, employment opportunities, and talent would likely move to areas with more defined regulations.

In his closing remarks, Cascarilla expressed hope for bipartisan cooperation in addressing the current regulatory landscape. He noted, “Thankfully, there is bipartisan interest in fixing this broken status quo.” 

The head of Paxos is eager to work together with the incoming administration and legislators from across the political spectrum, aiming to establish a robust regulatory structure for stablecoins that fosters innovation and strengthens America’s dominance in the realm of digital currencies.

7 Days To Go: Paxos CEO Pushes Harris And Trump For Clearer Crypto Guidelines

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2024-10-30 07:11