Crypto investor and industry adviser Les Borsai told Newsmax on Tuesday that Democrats are losing touch with the realities of blockchain and decentralized finance as they push back against the Responsible Financial Innovation Act — a bipartisan market structure bill first introduced in 2022.
Appearing on "National Report," Borsai said the bill, co-authored by Sens. Kirsten Gillibrand, D-N.Y., and Cynthia Lummis, R-Wyo., was designed to create clear regulatory boundaries between the Securities and Exchange Commission (SEC) and the Commodity Futures Trading Commission (CFTC) — giving the cryptocurrency industry much-needed clarity on oversight.
"What started out as a bipartisan bill," Borsai said, "seems to be getting pushback now from the Democrats. And I think the thing that's been really beneficial to the bill is [Sen.] Tim Scott and [Sens.] [Pete] Ricketts, [Bernie] Moreno, and Lummis really having a thoughtful idea of what's required to govern cryptocurrencies responsibly. The pushback we're seeing from the Democrats doesn't address that — it's the same old arguments."
The Responsible Financial Innovation Act (RFIA) — first unveiled in June 2022 — was billed as one of the most comprehensive efforts in Congress to regulate digital assets. The legislation aims to define which cryptocurrencies should be treated as commodities versus securities, establish consumer protections, and set tax and reporting frameworks to encourage innovation while preventing abuse.
But as markup debates continue on Capitol Hill, partisan divisions have resurfaced.
"[Democrats are] fighting over markups," Borsai said, "and really what this bill is about is innovation and being connected to what's already been accomplished through clarity and genius."
Borsai also warned that skepticism from some Democrats risks sidelining U.S. leadership in financial technology.
"One party is really pushing for innovation," he said, "and another party is not understanding the technology in depth. When you don't understand something, you fight back and attack — and I think we're seeing that right now."
He added that the rise of DeFi — or decentralized finance, which replaces central authorities with automated smart contracts — will soon reshape traditional finance altogether.
"I believe we're going to see DeFi integrated into every aspect of traditional finance," Borsai said. "That's where the future is headed."
NEWSMAX is the fastest-growing cable news channel in America with more than 30 million people watching!
Reuters Institute reports NEWSMAX is one of the top news brands in the U.S.
You need to watch NEWSMAX today.
Get it with great shows from Rob Schmitt, Greta Van Susteren, Greg Kelly, Carl Higbie, Rob Finnerty – and many more!
Find the NEWSMAX channel on your cable system – Go Here Now
BEST OFFER:
Sign up for NEWSMAX+ and get NEWSMAX, our streaming channel NEWSMAX2 and our military channel World at War.
Find hundreds of shows, movies and specials.
Even get Jon Voight’s special series and President Trump’s comedy programs and much more!
Watch NEWSMAX+ on your smartphone or home TV app.
Watch NEWSMAX anytime, anywhere!
Start your FREE trial now: NewsmaxPlus.com
© 2025 Newsmax. All rights reserved.