Patrick McHenry, chair of the House Financial Services Committee, said on May 10 that the FIT21 measure may be put to a vote by the whole house in mid-November.
There will be a full plenary vote on the Financial Innovation and Technology for the 21st Century Act (FIT21) once it has progressed through committee. U.S. authorities have delegated jurisdiction to the CFTC and the SEC to oversee the effects of digital currencies on the nation until July 2023, according to a recently approved measure.
In an interview with the House Financial Services Committee on May 10, Patrick McHenry said that the FIT21 measure may be voted on by the whole house in mid-November, if the Rules Committee does not veto it now. In order to make sure that blockchain technology grows successfully without risking the safety of investors, as Representative French Hill said, a tightly regulated environment is crucial.
Republicans in Congress believe that the FIT21 should outline the SEC’s regulatory responsibility for cryptocurrencies, and that the CFTC should have more authority over digitally enhanced commodities. In the aftermath of this announcement, the House voted overwhelmingly to change the SEC accounting regulation that banks saw as detrimental.
But up until today, the outcome of the vote on FIT21 was unclear. Legislation still has to be enacted, the president’s signature is still needed, and the act can’t be finalized until both houses of Congress give their blessing, despite Representative McHenry’s praise for the progress both parties have made.
According to Crypto Council for Innovation CEO Sheila Warren, FIT21 is a giant step in the right direction towards establishing a national framework for regulating digital assets in the US. Everyone with a stake in the outcome now has a chance to review the revised language of the measure since their first markups in July.
Everyone agrees that the United States’ FIT21 regulations for digital assets are a big step towards a complete framework. While the bill’s provisions address issues brought up by more recent occurrences, such as the FTX collapse, they also provide a means to safeguard customers and provide much-needed clarity for regulatory institutions.
Note that FIT21 seeks to reinforce regulatory authorities like the SEC and CFTC by giving them more power to oversee and control the digital asset markets. This will help restore investor confidence and encourage blockchain innovation. It will be more difficult for the measure to become law, however, since it still needs more votes in both the House and the Senate.
According to Coin Gabbar, lawmakers are showing their growing interest in digital asset legislation and oversight as the US Congress prepares for election season by running on this platform. One such effort is Coinbase’s Stand With Cryptocurrency PAC, which seeks to educate lawmakers about cryptocurrency. Therefore, the players believe that FIT21’s introduction would be a major step towards creating such legislation and deciding the destiny of the US cryptocurrency sector.
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