Patrick McHenry wants to end the crypto quagmire in Congress

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As readers of this newsletter know all too well, the United States lags behind when it comes to crypto regulation. Brazil recently advanced a government decree to establish its central bank as the main regulator, the European Union officially signed its regulations on crypto asset markets, and even Hong Kong is pressuring banks to accept exchanges. as clients.

Thanks to the toxic fallout from FTX, the United States has been dragging its feet after appearing poised to advance several bipartisan efforts late last year. After Republicans seized control of the House Financial Services Committee, responsible for securities regulation and oversight of the Securities and Exchange Commission, body Democrats have expressed surprising reluctance even on fruit within reach. of hand like the regulation of stablecoins.

Patrick McHenry (RN.C.), chairman of the committee, appears committed to his mission of at least pushing the legislation out of the House, even if it dies in the Senate. In early June, he teamed up with Republicans on the House Agriculture Committee that oversees the CFTC to produce a long-awaited market structure bill and released a new stablecoin bill that incorporated the Democratic positions the following week. Despite the progress, McHenry’s minor wins were mostly drowned out by aggressive SEC repression.

During a House Financial Services hearing yesterday with Federal Reserve Chairman Jerome Powell, McHenry took the opportunity to pick up the narrative. At the start of the session, McHenry announced without fanfare his intention to advance both market structure and stable bills in the second week of July through a markup or legislative process where the Committee members can propose amendments to a bill before voting on the bill. of the committee for consideration by the full House.

For an industry hungry for good news, reports of McHenrys’ update drew applause, with beleaguered Binance founder Changpeng Zhao even tweeting out an article from The Block with a cheering emoji. Any legislation always faces a good chance even if a bill makes it through the Republican-controlled House, it will be difficult to win the approval of diehard crypto-skeptics in the Senate, including Sherrod Brown (D- Ohio) and Elizabeth Warren (D- Mass.). For the Sisyphean swamp that is the US Congress, it is sometimes the attempt that counts.

The audience saw another bright spot for crypto advocates. In his testimony, Powell described payout stablecoins as a form of currency, called for strict central bank oversight, and admitted that cryptocurrencies have enduring power as an asset class. Still enjoyable, Bitcoin broke above $30,000.

Leo [email protected]@leomschwartz

DECENTRALIZED NEWS

The Department of Homeland Security announced a new task force made up of five federal law enforcement agencies to investigate how criminals in Arizona are using crypto and the dark web for drug trafficking, money laundering and other crimes. (Decrypt)

Mining firm BitcoinCleanSpark agrees to buy two campuses in Georgia for $9.3 million. (The block)

Venezuela’s mining ban has entered its third month, and miners are barely holding on. (Bloomberg)

MakerDAO bought $700 million in treasury bills to bolster the stability of DAIstablecoin. (The block)

The founders of bankrupt crypto hedge fund Three Arrows Capital, or 3AC, unveil their new venture capital fund, 3AC Ventures. (co-telegraph)

EVEN OF THE MOMENT

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