Regulation
US House to Vote on Cryptocurrency Bill
A bill promising regulatory clarity for digital assets has moved one step closer to a vote in the U.S. House.
THE House Rules Committee said Friday (May 10) that it will consider the Financial Innovation and Technology for the 21st Century Act (FIT21). (H.R. 4763), meaning the bill could come up for a floor vote later in May House Financial Services Committee said on a Friday Press release.
“With the floor vote announced today, Congress will take a historic step to provide a clear regulatory framework for digital asset markets,” Patrick McHenry, chairman of the House Financial Services Committee, said in the release. “This legislation will solidify American leadership of the global financial system for decades to come and strengthen our role as an international hub for innovation.”
Introduced on July 20, FIT21 established federal requirements on digital assets, providing the Commodity Futures Trading Fee (CFTC) with new jurisdiction over digital commodities and clarifying regulation Securities and Exchange Commission(SEC) on digital assets offered as part of an investment contract, according to the release.
The bill also establishes a process to allow secondary market trading of digital commodities initially offered as part of an investment contract and imposes requirements on entities required to register with the CFTC or the SEC, according to the release.
Member of Congress French hillone of the lawmakers who introduced the bill, said in Friday’s press release: “After working tirelessly across the aisle and across the nation over the past year to create a clear and pragmatic regulatory framework for digital assets, I am proud that this landmark legislation is coming to the House.
THE cryptocurrency sector Washington has long been calling for more regulatory clarity, and this bill could put the industry on the path toward that goal, PYMNTS reported in July when the bill was introduced.
FIT21 would outline when a cryptocurrency is a commodity or security and assigns oversight appropriately between the CFTC and the SEC.
“As the collapse of FTX demonstrated, we need strong consumer protections and a functional regulatory framework to ensure the rapidly growing digital asset ecosystem is safe for investors and consumers, while ensuring America as leader in blockchain innovation,” Hill said in Friday’s press release. .