Two House Republican leaders are calling on the Securities and Exchange Commission (SEC) and the Commodity Futures Trading Commission (CFTC) to establish a joint Working Group on Digital Assets.
U.S. Reps. Patrick McHenry (R-NC) and Glenn Thompson (R-PA) sent a letter to SEC Chair Gary Gensler and CFTC Acting Chairman Rostin Behnam, stating that the working group would give market participants and stakeholders a seat at the table alongside regulators.
McHenry, the top Republican on the House Financial Services Committee, and Thompson, the top Republican on the House Agriculture Committee, are co-sponsors of H.R. 1602, the Eliminate Barriers to Innovation Act, which would require the establishment of a collaborative working group. It passed the House in April and awaits Senate action.
The lawmakers said a working group would bring much-needed clarity to this rapidly growing industry.
“We are at a pivotal point with respect to shaping policies that will significantly impact the digital asset ecosystem. Recent comments made by Chairman Gensler and his recent exchange with Senator Elizabeth Warren provide a concerning roadmap for regulatory actions that will have long-term implications. Rather than regulate innovation and job creation out of this country, we should promote an active dialogue between regulators and market participants. This is the goal of H.R. 1602, the Eliminate Barriers to Innovation Act of 2021, which passed the U.S. House of Representatives in April,” they wrote.
While their bill requires the creation of a working group, the SEC and CFTC could undertake a similar action under existing law, they added.
“An open and collaborative dialogue with all relevant agencies, stakeholders and market participants is critical. A working group on digital assets would enable both the SEC and CFTC to explore how to effectively use their current jurisdiction cooperatively. Such a working group can foster transparent engagement with innovators in the digital asset ecosystem. As Congress contemplates additional legislation to address regulatory gaps, this work could provide us with additional information and clarity as we make these important policy decisions,” they wrote.