Election 2020: Bloomberg Campaign Wants 'Regulatory Framework' For Cryptocurrency

Michael Bloomberg's late entry in the 2020 Democratic race may not be much of a factor for the former New York City mayor as he rapidly surges in a national poll. That momentum is also expected to remain strong as some suggest Bloomberg could be unstoppable soon because of the few hundred million dollars that he has spent on campaign advertisements, including TV ads in states designated to vote on Mar. 3 onwards.

On Tuesday, the founder and CEO of Bloomberg LP published a financial reform plan that highlights his goals of building a more resilient financial system and improving consumer protection. Bloomberg also put forward a proposal for a regulatory framework on cryptocurrencies.

"Cryptocurrencies have become an asset class worth hundreds of billions of dollars, yet regulatory oversight remains fragmented and undeveloped. For all the promise of the blockchain, bitcoin and initial coin offerings, there's also plenty of hype, fraud and criminal activity," the proposal stated.

Bloomberg calls for consumer protection from crypto-related fraud and for clarification regarding the oversight of cryptocurrencies, including a framework for initial coin offerings. The Democratic presidential candidate also advocates for clearer guidelines on taxing cryptos as well as defining the requirements for financial institutions holding cryptocurrencies.

With his financial reform policy, Bloomberg is just among a handful of candidates who touched on the topic of cryptocurrencies, including Rep. Eric Swalwell and Andrew Yang. Elizabeth Warren suggested fraud prevention and regulation for cryptos but has not laid out a clear plan. There are candidates who are believed to be suited for cryptos like Senator Bernie Sanders but has rarely spoken about it.

Andrew Yang, on the other hand, was the crypto community's perfect ally because of his tech background. But Yang has already pulled out of the presidential race on Feb. 11 after losing in the Iowa caucus and New Hampshire primary.

The candidate, who was embraced by most of those who are passionate about blockchain and cryptocurrencies and was dubbed as the "Bitcoin President," had advocated for a universal basic income that made Americans take notice of his campaign. Like Bloomberg, Yang wanted a clear regulatory framework for cryptocurrencies.