Will Success Finally Come This Time? New Bill to Regulate Cryptocurrencies in the US Has Been Unveiled – It Was Rejected Last Year, Here Are the Details

Republicans in the House of Representatives have released new draft legislation that aims to create a comprehensive regulatory framework for the cryptocurrency asset industry in the United States.

The draft, unveiled by top Republicans on the House Financial Services and Agriculture Committees, builds on previous efforts to clarify crypto regulation. Representatives French Hill, Bryan Steil, Glenn GT Thompson, and Dusty Johnson spearheaded the effort.

“We made historic progress in the 118th Congress to build a bipartisan, bicameral consensus on creating a functional regulatory framework for digital assets,” Rep. Hill said in a statement. “Our discussion draft builds on this work and provides much-needed regulatory clarity for the digital asset ecosystem, protecting consumers and preserving the long-term integrity of digital asset markets in the United States.”

The draft was released ahead of a hearing scheduled for Tuesday titled “A Blueprint for American Innovation and the Future of Digital Assets: A 21st Century Plan.” Lawmakers say the new draft closely mirrors the Financial Innovation and Technology for the 21st Century Act (FIT21), which passed the House of Representatives but failed to pass the Senate last year.

FIT21 had proposed splitting oversight responsibilities between the Securities and Exchange Commission (SEC) and the Commodity Futures Trading Commission (CFTC), giving the CFTC more authority over crypto spot markets and digital commodities, particularly Bitcoin. The updated draft continues that approach by delineating regulatory authority between the two agencies.

According to a summary document, the new draft includes provisions for digital commodity exchanges, disclosure requirements, and registration mechanisms with the CFTC. It also proposes “a pathway to raise funds under the jurisdiction of the SEC” and aims to establish “a clear process for registering with the CFTC for digital commodity trading.”

*This is not investment advice.