Patrick McHenry, a soon-to-retire Republican lawmaker, urges the US assembly to quickly pass the FIT21 crypto bill before the upcoming presidential election.
The Financial Innovation and Technology for the 21st Century Act (FIT21) was approved by the House of Representatives on May 22. The bill received a yes from 71 Democrats and 208 Republicans.
The Urgency of Crypto Regulation
McHenry, who chairs the House Financial Services Committee, stressed the bill’s importance during a recent interview on Bloomberg’s “Balance of Power” on May 30. He stated that the result of the House of Reps votes should prompt the Senate to pass the bill quickly.
For context, the FIT21 bill aims to classify most virtual currencies as commodities. This would place them under the oversight of the Commodity Futures Trading Commission (CFTC).
Notably, most of the crypto community considers the CFTC a more favorable regulator than the SEC. This is primarily due to the SEC’s tough stance on digital assets.
McHenry noted that the Senate was initially surprised by how decisively the FIT21 bill passed in the House. Despite this, the bill faces opposition from President Joe Biden and the SEC.
Notably, President Biden’s administration has always had reservations about the risks associated with insufficient regulation of digital a
