- The US House Committee will vote in July on significant crypto legislation.
- In the July session, committee members will have the opportunity to propose amendments to the text of the bills.
The US House Committee will vote in July on significant crypto legislation. Voters will be asked to approve new regulations governing cryptocurrencies, including the ability for assets to change from being categorized as securities to commodities. Furthermore, a vote on a new stablecoin foundation will be held.
U.S. House committee to vote on crypto, stablecoin legislation in July https://t.co/WtpcTxX2GY
— The Block (@TheBlock__) June 21, 2023
During the second week of July, the two upcoming bills, which have been drafted by Patrick McHenry, the chair of the House Financial Services Committee from North Carolina, and Glenn Thompson, the chair of the House Agricultural Committee, will be created and discussed.
McHenry has also announced a scheduled oversight hearing with Jerome Powell, the Chair of the Federal Reserve. Thompson has further played a key role in formulating the proposed legislation as per The Block.
The committee’s main objective is to establish a clear and defined process for digital assets to transition from being categorized as securities to being considered commodities. It is worth noting that commodities typically have fewer reporting and regulatory obligations.
Establishing Regulatory Framework for Stablecoins
Furthermore, the committee will discuss a separate bill to create a comprehensive regulatory structure for stablecoins. Notably, this legislation has been primarily authored by French Hill, a Republican representative from Arkansas, with significant contributions from Patrick McHenry.
Similarly, stablecoins tied to a stable asset such as traditional fiat currency, have experienced a significant surge in popularity. Consequently, this proposed legislation has the potential to provide crucial clarity and enhanced security to this particular segment of the cryptocurrency market.
Furthermore, during the July session, committee members will have the opportunity to propose amendments to the text of the bills. The final versions of the bills will then be subjected to an affirmative or negative vote to determine if they progress favorably within the panel. A successful committee vote would also position the bills for consideration by the entire House of Representatives.
The legislative efforts in July highlight the U.S. government’s response to the rapidly evolving crypto industry. These potential laws represent a crucial step toward establishing a regulatory framework that supports ongoing innovation within the United States. At the same time, they aim to ensure consumer protection in the dynamic domain of digital assets.
Potential Impact Of The Legislation On The Crypto Industry
To become law, the legislation will need the backing of Senate Democrats, followed by the signature of President Joe Biden. Additionally, this session can potentially propel the advancement of clear regulations for cryptocurrencies through the political hierarchy. Ultimately, it could pave the way for the desired legal framework sought by the industry.
