republicans, led by congressman patrick mchenry (r-nc), have created the first-ever subcommittee on digital assets, financial technology and inclusion for the house financial services committee. congressman french hill (r-ar) has been named as the chair of the new subcommittee and congressman tom emmer (r-mn) has been critical of the securities and exchange commission (sec). chairman of the house financial services committee, patrick mchenry (r-nc), identified the digital assets ecosystem as an area to work on in december. mchenry was among other lawmakers who criticized the sudden collapse of cryptocurrency exchange ftx in november.
multiple pieces of crypto-related legislation are working their way through the legislative process. hill co-sponsored a bill that required the board of governors of the federal reserve system to study the potential impact of a u.s. central bank digital currency (cbdc). the 118th congress is expected to provide regulatory clarity for the digital asset class, an objective shared by the financial sector and government. the subcommittee was created in december and is believed to be necessary as the digital asset sector is receiving more resources than other parts of the financial industry.
mchenry advocated for congress to develop a clear regulatory framework for the digital asset ecosystem, including trading platforms. mchenry expressed interest in learning more from companies such as binance and ftx to ascertain their role in the collapse of ftx. the ceo of binance telegraphed its sale of ftt and later abandoned its buyout of sam bankman-fried’s exchange. mchenry looked forward to learning more from these companies and the steps they would take to protect customers during the transition. hill, who was also named the full committee’s vice-chairman, stated that it was their job to work across the aisle and promote responsible innovation while encouraging fintech innovation to flourish safely and effectively in the united states. mchenry commented that it was imperative for congress to establish a framework that would ensure adequate protections for americans while permitting innovation.