- The U.S. Congress is expected to introduce comprehensive legislation
- McHenry and the SEC have both proposed bills to address the cryptocurrency market.
- The bill is expected to pass the House and the Senate
Within the next two months, both the House Agriculture and Financial Services Committees in the US will introduce comprehensive legislation to regulate the Crypto Industry.
The two committees’ joint public hearing, set to begin in May. Will take place prior to the release of the new bill. At the Consensus 2023 conference, House Financial Services Committee Chair Patrick McHenry said
What Will The Crypto Bill Deal With
At a major news agency’s Consensus 2023 event, McHenry answered the question “yes” when asked if President Joe Biden could sign such a bill within the next 12 months. The crucial legislator didn’t waste any time in adding a caveat that creating new laws is never easy.
The bill will handle both the securities and commodities regimes as well as problems that are difficult to resolve on either side, according to McHenry. “What we plan to do over the next two months is report a deal out,” he added.
The committee intends to introduce a law that addresses the securities. And commodities regimes as well as other difficult-to-fix problems. He said, noting that it can be difficult to legislate anything new into existence.
Senator Cynthia Lummis, the other panellist at the event, stated that the goal of the nonpartisan topic is to have it resolved before the 2024 election.
Despite a number of measures making movement on Capitol Hill last year, the U.S. Congress has so far been unable to approve comprehensive crypto legislation.
Although bipartisan support for a second attempt at stablecoin legislation is still uncertain, Republicans on the House Financial Services Committee made an effort this month. Republicans presented a discussion piece that might serve as a fresh point of entry for talks with Democrats.
Various Views On The Bill
Lummis added that the Senate would have a better chance of passing the measure sooner if the House took the lead on crypto.
The US Congress has been unable to enact thorough legislation on cryptocurrency. Despite a number of measures making movement on Capitol Hill last year.
Another stablecoin regulation bill was introduced by the House Financial Services Committee this month, although it has not yet received any significant bipartisan support.
According to a bipartisan bill proposed on Thursday in the U.S. Senate and House of Representatives, the federal government should investigate instances of cryptocurrency use for criminal conduct, such as how terrorists or other bad guys might use cryptocurrencies.
U.S. Securities and Exchange Commission (SEC) Chair Gary Gensler was interrogated by McHenry’s committee last week. Over his unwillingness to state whether ether (ETH), the second-largest cryptocurrency by market cap, was a security.
US Steps Up Crypto Regulation After FTX’s Collapse
The recent failure of FTX and a few other prominent digital asset companies has pushed politicians to create legislation that offers the sector the necessary direction and protections.
Two of the largest financial agencies in the US, the Commodity Futures Trading Commission and the Securities and Exchange Commission, have started an aggressive crackdown on the cryptocurrency market.
Recently, the CFTC stated that it was suing Popular Exchange and its founder on claims. That the cryptocurrency exchange knowingly provided illegal crypto derivative products in the US.
The SEC has also sent a “Wells notice” to Coinbase, warning that company may face legal action over some of the digital assets it lists. As well as its staking tool Coinbase Earn, Coinbase Prime, and Coinbase Wallet.
The recent role that cryptocurrency played in the US banking crisis. Which has stressed the industry’s banking connections, was also noted by McHenry.