Investing.com – Cryptocurrencies were lower on Monday, as U.S. Congressmen asked the U.S. Securities and Exchange Commision to clarify the regulatory status of initial coin offerings.
In a letter from Friday to Jay Clayton, chairman of the SEC, U.S. lawmakers Warren Davidson (R- OH), Ted Budd (R- NC), Tom Emmer (R-MN), and Darren Soto (R-FL), asked the regulator to make its position on ICOs more clear.
According to the letter, the uncertainty regarding digital tokens “is hindering innovation in the United States” and they “believe the SEC could do more to clarify its position.”
As digital tokens have risen in popularity, governments around the world have struggled to regulate the alternative currency and agree whether the product is a securities or a commodity.
Bitcoin lost 1.55% to $6,558.70 on the Bitfinex exchange, as of 10:24 AM ET (14:24 GMT).
Cryptocurrencies overall were steady, with the coin market cap of total market capitalization at $221 billion at the time of writing.
In other news, Ripple and other companies are forming a lobby group in Washington. Called the Securing America’s Internet of Value Coalition, it seeks to promote a fair tax treatment on crypto-related capital gains, assets and charitable contributions.
“We understand this is really complicated, and there is a lot of misinformation out there. The good news is there is a lot of interest in this topic in D.C,” said Chris Larsen, Executive Chairman of Ripple. “It gives them some upside and gives them some risk. Hopefully, it gives them a taste of the industry in a way that hits home.”