Cryptocurrency laws on the rise: Representative Hill believes in progress before election

Cryptocurrency laws on the rise: Representative Hill believes in progress before election

Representative French Hill, Chairman of the House of Representatives Subcommittee on Digital Assets, expresses optimism about the potential progress of two key cryptocurrency bills in the US Congress. In what is commonly referred to as the "lame duck" period, the legislation could take a step forward before the start of the new Congress, which meets after the upcoming November 5 elections.

"What we need to see now is a focus on the opportunities that present themselves," Hill said during a virtual presentation at DC Fintech Week. Among the bills that could pass are FIT21, a proposal for a regulatory framework for cryptocurrencies, and legislation related to stablecoins. Hill believes both proposals have a chance of passing if a meaningful path forward can be found.

FIT21 would provide increased regulatory scrutiny to the Commodity Futures Trading Commission (CFTC), which is seen as more friendly to the cryptocurrency sector than the Securities and Exchange Commission (SEC). The stablecoin bill, on the other hand, should allow for clearer regulation of this specific market segment. Although the House of Representatives already passed FIT21 in May, its consideration in the Senate Banking Committee has stalled, as has the stablecoin bill that passed the House last July.

Hill also noted that any progress on these bills will depend on Congress passing final legislation, including the defense budget bill, the National Defense Authorization Act (NDAA). This moment could be an opportunity for Chairman McHenry to include financial services priorities in the defense debate.

If the cryptocurrency bills fail to pass in this Congress, Hill predicts they will become a top priority for the 119th Congress. Congress. CFTC Chairman Rostin Behnam also made an interesting point, suggesting that the agency is "handcuffed" by the current cryptocurrency regulatory negotiations and expects progress only after significant policy changes.

The cryptocurrency sector is watching these legislative proposals closely, with Tether CEO Paolo Ardoino warning that the US is "losing sight" of cryptocurrencies. He said that he hopes to see "sensible regulations" put in place, regardless of which political group wins the election.

As the election approaches, the political scene is increasingly discussing the regulation of cryptocurrencies. U.S. election officials can look forward to a high-profile election, with the election of the President, Vice President, all 435 members of the House of Representatives and 34 Senators. Current polls show close results between Democrats and Republicans, suggesting that the outcome of the election may have far-reaching implications for cryptocurrency regulation.

The Coingarage team