• US Congress is joining forces to pass a clear regulatory framework for digital asset market structure.
• House Financial Service Committee Chairman, Patrick McHenry, announced a series of joint hearings to address the US digital asset market structure.
• The upcoming hearings in May will mark the first holistic view of digital asset regulation by the House committee and report a bill in two months dealing with the “capital raising process for digital assets”.
Regulation Of Digital Assets In The US
One of the controversial topics in the crypto space is regulation. While the community calls for clarity in the regulatory framework, regulators like the US Securities and Exchange Commission act against them without defining the dos and don’ts. This situation has led many crypto firms in the US to seek offshore expansion in crypto-friendly countries.
Joint Hearings To Address Digital Asset Market Structure
But a recent development suggests that the regulators have taken up the calls for clarity. The House Financial Service Committee Chairman, Patrick McHenry, announced a series of joint hearings to address the US digital asset market structure. These include Congressman McHenry, Glenn Thompson, Chairman of the House Agriculture Committee, French Hill, Chairman of Digital Assets & Financial Technology & Inclusion Subcommittee, and Commodity Markets Digital Assets & Rural Development Subcommittee Chairman Dusty Johnson.
Creating Clear Rules For Crypto
The statement revealed that these committees would jointly pass and sign clear rules for digital asset ecosystem into law which would strike a suitable balance between protecting consumers and encouraging responsible innovation.
Upcoming Hearings In May
In another speech during Consensus event on April 28th ,the Chairman of House Financial Service Committee McHenry threw more light on upcoming hearings in May saying it will mark first holistic view of digital asset regulation by house committee . Further he disclosed they will report bill in next two months dealing with “capital raising process for digital assets” which will also cover transition process from securities regime to commodities while preserving its rights to other products which doesn’t belong to any regime .McHenry also mentioned his support to Sen Lummis Bipartisan Bill most likely talking about Token Taxonomy Act which was introduced last year December 2019 .
Conclusion
As such we can see how this move signals towards serious intentions from congress regarding adoption of cryptocurrencies as they are gearing up towards passing related bills into law soon .It remains to be seen how this impacts existing players as well as new entrants looking forward towards establishing their presence in this industry .