Florida CFO Advocates Creation of State “Cryptocurrency Chief”

The Florida Chief Financial Officer (CFO), Jimmy Patronis, has issued a statement calling for Florida’s government to create the post of “cryptocurrency chief” to provide greater oversight to the state’s emerging digital currency sector.

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Florida CFO Advocates Creation of Government Post Overseeing Crypto

Jimmy Patronis

Jimmy Patronis has issued a statement urging Florida’s lawmakers to create a new governmental post tasked with overseeing the state’s cryptocurrency industry.

The “Cryptocurrency Oversight Initiative” has received support from Florida Senate President-Designate Bill Galvano, who stated “ As technology continues to develop, our state needs to be both on the forefront of emerging trends and ahead of the game when it comes to protecting consumers from those who want to scam our residents. I applaud CFO Patronis for putting innovative proposals forward and will work with him on any forthcoming policy changes.”

Mr. Patronis said: “Florida can no longer remain on the sidelines when it comes to cryptocurrency. I have directed my office to create a position that will oversee how current securities and insurance laws apply to Initial Coin Offerings (ICOs) and cryptocurrencies as well as shape the future of these regulations in our state.”

“ICO and cryptocurrency companies based in Florida will also be required to register with the Office of Financial Regulation (OFR) under the supervision of the cryptocurrency chief. The new position will coordinate the efforts of OFR and Office of Insurance Regulation (OIR) regarding the development of policy, legislation, and regulation,” Mr. Patronis continued.

CFO Urges Florida to Develop “Comprehensive” Regulatory Response to Cryptocurrency

Mr. Patronis argues that Florida must develop a “comprehensive and balanced” regulatory framework, emphasizing the need to protect citizens from malicious actors seeking to utilize distributed ledger technology.

“We cannot allow the cryptocurrency industry to expand in Florida unfettered and unchecked with the potential for so many, including our large population of seniors, to be exploited. By taking an active, comprehensive and balanced approach, our state will provide an appropriate level of scrutiny for emerging digital asset technologies. It is absolutely essential that Florida create safeguards to protect our consumers from fraud,” said Mr. Patronis.

“The Alabama Securities Commission recently sent a cease and desist order to Platinum Coin from Miami to prohibit the company from issuing securities within Alabama. Other states have identified and are taking action against bad actors in the cryptocurrency industry. Florida must also protect our residents. […] The establishment of a cryptocurrency chief in the state will help protect Floridians from scams. Understanding the risks and benefits of this emerging industry will benefit Florida consumers. My goal is to keep pace with demand and not deter innovation while monitoring for fraudulent behavior and scams,” he added.

Do you think that the creation of state “cryptocurrency chiefs” tasked with overseeing the virtual currency industry would be positive or negative for the virtual currency ecosystem? Share your thoughts in the comments section below!

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