The chairman of the newly formed US Congressional Subcommittee on Digital Assets is committed to advancing progressive regulation of cryptocurrencies, to ensure “America is the place for innovation in fintech and blockchain.”
Speaking on CNBC’s Squawk Box on Jan. 26, U.S. Representative French Hill offered some of his first insights into what lies ahead for cryptocurrency regulation in the country.
The Financial Services Subcommittee on Digital Assets, FinTech, and Inclusion, chaired by Hill, was established on Jan. 12 to “identify best practices and policies that continue to strengthen diversity and inclusion in the digital asset ecosystem.”
During the interview, Hill stated that Bitcoin (BTC) it’s not yet ready to become an instant payment methodbut adding that “We want to make sure America is the place for fintech innovation and that blockchain is part of that future.”
We want to make sure that America is the place for innovation in FinTech and blockchain and distributed ledger technology is part of that FinTech future.
This morning, I joined @SquawkCNBC to discuss crypto and Financial Technology.
My interview, below:https://t.co/TDztq1muhX
— French Hill (@RepFrenchHill) January 26, 2023
Regarding the approval of a spot Bitcoin exchange-traded fund (ETF), Hill commented that the new subcommittee also wants to explore that possibility.
The Securities and Exchange Commission has repeatedly rejected applications for a spot Bitcoin ETF, including that from the world’s largest cryptocurrency manager, Grayscale.
Other areas of focus for the subcommittee will include federal privacy law, a stablecoin law, and the ramifications for the securities market, while working with the Senate on the commodities aspect of the cryptocurrency industry.
He reported that trading and crypto exchanges will have to be “supervised”, but did not specify which agency will do it.
“All of this is on the table and will be a priority this year”he has declared.
Finally, the conductor implied that the SEC is stalling, asking: “As long as President Gary Gensler is here, will we see any progress?”
Hill responded that Gensler was the “duty cop” last year, claiming to be an expert in this area. He then concluded:
“We will invite him to Congress to tell us what he knows, what he recommends in this area and what he did last year when there were so many challenges for our investors and consumers.”
The SEC has been accused by pro-cryptocurrency senators of regulating through enforcement and conducting out-of-court spot checks on the cryptocurrency industry.
