May 26, 2025
By Anjali Kochhar
In the ever-evolving world of blockchain, where innovation often races ahead of regulation, U.S. lawmakers are making a renewed attempt to close the gap. The Blockchain Regulatory Certainty Act (BRCA) has been reintroduced by Representatives Tom Emmer and Ritchie Torres, aiming to draw a clear legal boundary that protects blockchain developers, miners, and other non-custodial participants from outdated and misapplied financial regulations.
The BRCA is designed to ensure that individuals and entities who do not take custody of consumers’ digital assets such as software developers, protocol validators, miners, and wallet providers are not wrongfully classified as money transmitters. Under current laws, many of these actors operate in a gray area, leaving them vulnerable to regulatory overreach despite not directly handling user funds.
Representative Emmer, a vocal supporter of crypto innovation, emphasised the importance of the bill. “It is not fair or productive to saddle blockchain innovators with rules meant for traditional financial institutions,” he stated. Emmer warned that without swift and sensible regulatory clarity, blockchain talent and businesses could continue to migrate overseas.
Co-sponsor Ritchie Torres echoed the sentiment, underscoring the bill’s bipartisan nature and its focus on nurturing safe and responsible innovation within U.S. borders.
The bill has garnered strong support from the crypto industry. Kristin Smith, CEO of the Blockchain Association, praised the initiative, calling it “a vital step toward common-sense regulation.” She added that the BRCA offers much-needed legal certainty for the builders of tomorrow’s digital infrastructure.
While many in the crypto community see the bill as a breath of fresh air, it still faces political hurdles. Regulatory skepticism persists among certain lawmakers, especially following past incidents of fraud and collapse in the digital asset space. Critics argue that oversight must be balanced with innovation, not abandoned altogether.
Still, proponents of the BRCA believe that the bill does not eliminate oversight, but rather ensures it is appropriately applied. It separates those innovating on blockchain networks from those offering custodial financial services, allowing regulation to focus where consumer risk is actually present.
The reintroduction of the Blockchain Regulatory Certainty Act marks a critical moment in America’s approach to crypto regulation. It’s a statement that innovation shouldn’t be punished and that the U.S. intends to lead not lag in the blockchain era. As the bill moves through Congress, the world will be watching to see whether the U.S. embraces legal clarity or continues to leave its innovators in the dark.
About the author
Anjali Kochhar covers cryptocurrency and blockchain stories in India as well as globally. Having been in the field of media and journalism for over four years now, she has developed a sharp news sense and works hard to present information that goes beyond the obvious. She is an avid reader and loves writing on a wide range of subjects.
