Next week, the House Financial Services and Agriculture Subcommitees will organize a hearing about the future of digital assets and the regulatory gaps of the digital asset markets. The hearing will be chauffeured by the Subcommittee on Digital Assets, Financial Technology and Inclusion led by French Hill and Dusty Johnson, respectively from the House Financial Services and Agriculture. Patrick McHenry, leader of the House Financial Services Committee, declared last week that a new bill relating to cryptocurrencies will be introduced in the next couple of months. Furthermore, Cynthia Lummis and Kirsten Gillibrand of the Senate are planning to introduce a revised version of the Responsible Innovation Act.
The cryptocurrency market is a very popular but controversial economic field. Regulation has been accepted as a necessity by many countries in the world, but there has been tensions between regulatory entities within the United States. The Securities and Exchanges Commission (SEC) and the Commodities Futures Trading Commission (CFTC) have both pushed for the enforcement of laws against bad actors, and the upcoming hearing is part of that effort.
The Responsible Innovation Act will be the base for the new bill and will go further in defining tokens and clarifying definitions. The bill, when it was introduced in June of 2020, focus on giving CFTC authority over the most popular cryptocurrencies and addressed aspects related to stablecoins and taxes. In April 2021, a preliminary draft was released and McHenry pressured Waters to continue the negotiations, while Waters declared to disregard the posted bill at the same time.
This hearing will be a major stepping stone in the effort to shape the regulation in the digital asset market. The opinion of figures from both the House Financial Services and the Agriculture Committee will create a greater understanding of the digital asset world and the respective regulations. It is likely that the released bill will be significantly different from any other rulebook in the world, in order to fulfill the needs of the novel and developing cryptocurrency market.
Katie Turner
- 2023-05-04
House Financial Services and Agriculture Committees to Regulate Cryptocurrency Market
The Subcommittees on Digital Assets, Financial Technology and Inclusion (DAFTI) led by French Hill and Dusty Johnson, plan to have a hearing to improve and regulate the cryptocurrency market. Patrick McHenry and Cynthia Lummis and Kirsten Gillibrand plan to introduce a new bill related to cryptocurrencies.
