The United States House of Representatives passed H.R. 1602, the Eliminate Barriers to Innovation Act, introduced by Rep. Patrick McHenry (R-NC). The McHenry-sponsored legislation focuses on regulatory clarity for cryptocurrencies. The bill seeks to clarify the roles of agencies like the Securities and Exchange Commission and the Commodity Futures Trading Commission in the policing of cryptocurrencies in the United States. The bill also seeks to answer the ongoing debate of whether crypto tokens are securities or commodities.
Addressing the floor of the House during the passage of the bill, McHenry stated, “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 in opening up the dialogue between our regulators and market participants and move to needed clarity.”
Under the terms of the bill, Congress would have 90 days to establish the working group among participants from the SEC, CFTC and the private sector.
Once constituted, the working group would have a year to issue a report analyzing the current crypto regulatory climate. The panel’s work would also focus on matters like crypto custody, cybersecurity, private key management and investor protection concerns.