Rep. Patrick McHenry is calling on the United States Senate to quickly pass the crypto-regulating FIT21 bill before the upcoming election in November.
Patrick McHenry, a departing Republican lawmaker from the United States, has pressured the Senate to approve a crucial crypto-regulatory bill before the November presidential election.
On May 22, 208 Republicans and 71 Democrats voted in favor of the House’s Financial Innovation and Technology for the 21st Century Act (FIT21).
On May 30, Bloomberg’s Balance of Power interviewed the House Financial Services Chairman, retiring from Congress in January. “This should serve as a wake-up call for the Senate to get moving.”
“They need to stay focused on getting policy here and get it done before the election.”
The measure facilitates the classification of most cryptocurrencies as commodities, thereby subjecting them to regulation by the Commodity Futures Trading Commission.
CFTC regulations are more favorable to cryptocurrencies in the eyes of the industry than SEC regulations; however, the SEC retains jurisdiction over cryptocurrencies that lack adequate decentralization.
When McHenry first heard from the Senate regarding FIT21, he was astounded by “the enormous margin” by which it had cleared the House. The bill encountered resistance from both the SEC and President Joe Biden.
“For us to pass that important bill FIT21 with a two-thirds vote of the House of Representatives in these divided times, it is a major statement.”
He continued, “We are here to formulate serious policy.” We desire a regulated cryptocurrency and digital asset market in the United States.
In contrast to the Senate’s 49 Republicans, Senate Majority Leader Chuck Schumer leads the chamber’s 48 Democrats in caucus with all three of its independents.
There are no temporal restrictions on the Senate’s consideration of FIT21. Its passage requires the support of a majority of 51 senators.
For nearly two years, McHenry has collaborated with Democratic Representative Maxine Waters to pass a bill about stablecoins. He acknowledged that the measure would require Senate approval as an attachment to a larger legislative package.
He rejected the notion of tying the stablecoin measure to the SAFER Banking Act, an initiative that expands financial services available to cannabis companies.
“The proposed legislation regarding cannabis financing does not have my support. McHenry stated, “I voted against it in the previous two Congresses.”
He added that Republicans would “apply maximum pressure” to convince Schumer and the Senate to give precedence to the passage of a cryptocurrency measure.
The scheduled date for the U.S. presidential elections is November 5.