The US House of Representatives has passed a crypto-related bill introduced by pro-bitcoin congressman Patrick McHenry. It requires the Securities and Exchange Commission (SEC) and the Commodity Futures Trading Commission (CFTC) to establish a working group focused on digital assets.
Bill ‘Ensure cooperation between regulators and private sector’ on cryptocurrency
The U.S. House of Representatives on Tuesday passed several bipartisan bills, including HR 1602, introduced by pro-bitcoin congressman Patrick McHenry, the Republican leader of the House Financial Services Committee.
HR 1602, entitled “Eliminate Barriers to Innovation Act of 2021,” will establish “a Digital Asset Working Group to ensure collaboration between regulators and the private sector to drive innovation,” the committee said.
[This bill] requires the Securities and Exchange Commission and the Commodity Futures Trading Commission to establish a working group focused on digital assets. This is the first step to initiate dialogue between our regulators and market participants and create the necessary clarity.
The bill states that the working group will be established no later than 90 days after the date of entry into force.
In addition, the bill requires that the working group members include at least one representative of fintech companies providing digital asset products or services, financial companies regulated by the SEC or CFTC, institutions engaged in academic research or advocacy related to the use of digital assets. , small fintech companies, investor protection organizations and institutions that support investments in historically disadvantaged companies.
The working group submits a report to the SEC, the CFTC and the relevant committees, the bill no later than one year after the bill enters into force.
The report must include regulatory analysis and recommendations regarding laws and regulations under the jurisdiction of the SEC or the CFTC. The recommendations are “for creating, maintaining and improving primary and secondary markets for digital assets, including for improving the fairness, orderliness, integrity, efficiency, transparency, availability and effectiveness of such markets.” They should also cover the “standards of custody, private key management, cybersecurity and business continuity with regard to intermediaries of digital assets.” The bill, which is now going to the Senate, can be found here.
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