Republican’s ‘landmark’ crypto bill clears 2 House committees

The market structure bill secured bipartisan support and moved through financial services and agriculture committees

article-image

US Representative French Hill | hill.house.gov modified by Blockworks

share

A day after the House Financial Services Committee delivered a win to the crypto industry and passed a bipartisan regulatory measure, members of the House Agriculture Committee gave the bill a green light. 

The Financial Innovation and Technology for the 21st Century Act passed through the Agriculture Committee Thursday afternoon. The Financial Services Committee did the same Wednesday evening after their markup. 

“This legislation marks a significant milestone in the House Committee on Agriculture’s efforts to create a much-needed digital asset regulatory framework that protects consumers and investors while promoting American leadership in finance and technology,” Agriculture Committee Chair Glenn Thompson, R-Penn., said during Thursday’s hearing. 

Rep. French Hill, chair of the inaugural Financial Services Subcommittee on Digital Assets, Financial Technology and Inclusion, introduced the legislation last week

Not all agriculture committee members were on board, though, Democrat members specifically raised concerns about the bill’s registration process for crypto broker-dealers. 

Rep. Jonathan Jackson, D-Ill., proposed an amendment to strike a section of the bill that allows firms who have filed a “notice of intent to register” to be exempt from certain enforcement actions from the Securities and Exchange Commission. 

“Allowing for ‘intent to register’ before those regulations are completed would be an absolute injustice to our constituents and retail investors,” Jackson said. “This industry needs to be under full-force regulation and oversight.” 

Thompson countered that the “notice of intent” allows firms who meet requirements for treatment of customer funds, disclosures and records to operate limitedly while the potentially years-long registration approval process plays out. The bill also allows the Commodity and Futures Trading Commission to issue enforcement actions against firms who have completed the “notice of intent” process. 

Jackson’s amendment was not approved by the committee. 

The committee did, however, offer its support to an amendment put forth by Rep. Yadira Caraveo, D-Col., which aims to modify the “notice of intent” provision. Under this amendment, these firms would be obligated to inform consumers that they are not fully approved.

The House Financial Services Committee also on Wednesday passed the Blockchain Regulatory Certainty Act, introduced by majority whip Rep. Tom Emmer, R-Minn. Emmer first introduced the legislation last session, but the bill failed to make it out of committee. The new version of the bill debuted on the House floor in March. 

The Agriculture Committee’s markup was much calmer than efforts in the House Financial Services Committee, which met at the same time to consider another set of bills, including a Republican-led stablecoin bill that took over the focus of the meeting.


Don’t miss the next big story – join our free daily newsletter.

Tags

Upcoming Events

Hilton Metropole | 225 Edgware Rd, London

Mon - Wed, March 18 - 20, 2024

Crypto’s premier institutional conference returns to London in March 2024. The DAS: London Experience: Attend expert-led panel discussions and fireside chats Hear the latest developments regarding the crypto and digital asset regulatory environment directly from policymakers and experts.

Salt Lake City, UT

WED - FRI, OCTOBER 9 - 11, 2024

Pack your bags, anon — we’re heading west! Join us in the beautiful Salt Lake City for the third installment of Permissionless. Come for the alpha, stay for the fresh air. Permissionless III promises unforgettable panels, killer networking opportunities, and mountains […]

recent research

Research report - cover graphics (1).jpg

Research

In this report, we dive into crypto private market data to gather insights on where the future of the industry is headed. Despite a notable downturn in private raises, capital continues to infuse promising projects that aim to transform payments, banking, consumer experiences, community, and more, with 2023 being the fourth-largest year for crypto venture capital.

article-image

BUZZ holds shares of Coinbase, Robinhood and MicroStrategy

article-image

Opinion: Even though I didn’t pay for my “Diamond Hands” burger with BTC, don’t let that fool you into thinking that crypto’s development is futile

article-image

The results mark “a major positive inflection point,” one analyst says, as the exchange carries net income momentum into a crypto rally

article-image

While the slate of 10 US spot bitcoin funds have tallied $4.6 billion of net inflows thus far, half of the field is lagging the leaders

article-image

Trading volumes totalled $154 billion in Q4, including $125 billion in institutional volume

article-image

DeFi on Bitcoin is all the rage right now and Stacks is positioned to benefit