US Committee to Vote on a Comprehensive Digital Asset Bill

• Republican Chairman Patrick McHenry plans to take a committee vote on a digital asset law.
• This legislation is a crucial first step towards official US crypto regulation.

To build a regulatory framework and introduce clear regulations and standards for the crypto business. The US Financial Services Committee will vote in the coming weeks on a comprehensive digital asset bill. This comes after a hearing held by the House Financial Services Committee on clarifying the framework and regulation of digital asset markets and payment stablecoins.

Republican Chairman of the US House Financial Services Committee Patrick McHenry plans to take a committee vote on a digital asset law. After legislators return on July 11, they will vote on the measure.

Much Needed Clarity

Two legislation to provide “clarity” on the structure of the digital asset market and the regulation of payment stablecoins were addressed by Democrats and Republicans on Tuesday in the US House Financial Services Committee. This legislation is a crucial first step towards official US crypto regulation.

The US House of Representatives is reportedly working on legislation. That will regulate the crypto business and the digital asset ecosystem. Separate parts of the cryptocurrency sector would be given to the Securities and Exchange Commission (SEC). And the Commodity Futures Trading Commission (CFTC) under this proposed legislation.

The US SEC has embraced a regulation-by-enforcement strategy. Alleging that most cryptocurrencies are securities, prompting crypto companies to seek such clarification from the US Congress. The SEC requires crypto exchanges and businesses to register under its proposed, though hazy, legislation.

The House Financial Services Committee has publicly acknowledged the US SEC’s and its chair Gary Gensler’s flawed strategy. Maxine Waters, the ranking Democrat in the House, has expressed concern that criminals may benefit from granting temporary registration to cryptocurrency exchanges. Both Senators Brown and Warren have shown skepticism towards crypto.

In the eyes of the crypto community, the SEC’s cases against Binance and Coinbase are more about establishing its authority over the space than safeguarding investors.