The Biden administration has chosen not to endorse or veto the Financial Innovation and Technology for the 21st Century Act (FIT21).
In an official statement released on Wednesday, the Executive Office of the President voiced its opposition to the current version of the FIT21 Act, should it be approved by the U.S. House of Representatives in the coming hours.
The statement outlined concerns that the FIT21 Act, in its present form, would impact America’s regulatory framework for digital assets. Despite this opposition, the Biden administration expressed a willingness to work with policymakers to develop clear and effective cryptocurrency legislation.
The statement conveyed the Administration’s anticipation of working with Congress to create a thorough and equitable regulatory framework for digital assets.
A Long Road Ahead
The White House’s position somewhat aligns with U.S. SEC Chair Gary Gensler, who has also expressed opposition to FIT21. Gensler echoed concerns about non-compliance within the crypto industry, emphasizing the need to prioritize investor protection policies over business models based on emerging technology.
House Agriculture Committee Republicans have criticized Gensler’s stance, as FIT21 continues to gain bipartisan support ahead of the upcoming vote.
The journey of the FIT21 Act does not conclude with a House vote. If approved, it will advance to the U.S. Senate for further consideration. Scott Mason, a senior policy advisor at Holland & Knight, informed crypto.news that the backing of key Democrats could be pivotal at this stage.
In a private note, Mason remarked that with Democratic leadership not actively opposing it, garnering support from 50 to 75 or more Democrats would send a compelling signal to the Senate to initiate action.
0 Comments