U.S. House of Representatives' new bill proposes to ban crypto exchanges from misusing customer funds and require them to disclose proof of reserves to SEC

According to Cointelegraph, U.S. Representative Ritchie Torres submitted two bills to the House Financial Services Committee, namely the "Encryption Consumer Investor Protection Act" and the "Encryption Exchange Disclosure Act", which require prohibiting cryptocurrency exchanges from misusing customer funds. And requires exchanges to disclose proof of reserves to the US Securities and Exchange Commission (SEC). The first of these bills stated that "cryptocurrency exchanges shall not lend, use, or mix customers' funds without the consent of customers"; the second bill included "cryptocurrency exchanges that hold assets on behalf of customers shall regularly disclose to the SEC Information related to the exchange’s proof of reserves, including the ratio of assets held by the exchange to liabilities, etc.”