House Advances Three Crypto Bills During Crypto Week

The U.S. House of Representatives has designated the week of July 14th as "Crypto Week," during which it will consider three key pieces of legislation aimed at regulating the digital asset space. The bills in question are the GENIUS Act, the CLARITY Act, and the Anti-CBDC Surveillance State Act. These legislative efforts are part of a broader initiative to establish the U.S. as a global leader in the crypto industry.

The GENIUS Act, which has already been passed by the Senate, focuses on creating a comprehensive regulatory framework for dollar-backed payment stablecoins. This bill aims to ensure that stablecoin issuers hold high-quality liquid assets, such as U.S. Treasuries, providing regulatory certainty for the industry. The House is expected to prioritize this bill during Crypto Week, with lawmakers pledging to advance it swiftly.

The CLARITY Act, introduced by Chairman Glenn Thompson and French Hill, seeks to establish the Commodity Futures Trading Commission (CFTC) as the primary regulator of digital commodities. This bill aims to limit the jurisdiction of the Securities and Exchange Commission (SEC) in the digital asset space, providing much-needed regulatory clarity. The House Committees on Agriculture and Financial Services have already advanced the CLARITY Act with bipartisan support, and it is poised for consideration during Crypto Week.

The Anti-CBDC Surveillance State Act is designed to block the issuance of a central bank digital currency (CBDC) that could compromise Americans' financial privacy. Lawmakers plan to back this bill during Crypto Week, ruling out any possibility of introducing a CBDC. This move aligns with the broader effort to safeguard financial privacy and prevent government overreach in the digital asset space.

Chairman French Hill emphasized the committee’s efforts to push forward landmark legislation. The House aims to create a clear regulatory framework for digital assets that protects consumers and investors. He noted that the U.S. is taking historic steps to ensure it remains the world’s leader in innovation. The House is advancing legislation that provides rules for the issuance and operation of dollar-backed payment stablecoins and permanently blocks the creation of a CBDC to safeguard Americans’ financial privacy.

Senator Cynthia Lummis expressed excitement about the House's move, citing the federal government’s efforts to regulate digital assets. She highlighted her collaboration with Chairman Hill and Thompson to advance the stablecoin and crypto legislation. Rep. Bryan Steil also emphasized that passing the stablecoin legislation, market structure, and a CBDC ban would enable the U.S. to win the Web3 race. It could also foster innovation, protect consumers, and outcompete adversaries, ultimately dominating the future of blockchain technology.

The consideration of these bills during Crypto Week marks a significant step forward in the regulation of the digital asset space. The House's efforts to create a clear regulatory framework for digital assets are aimed at protecting consumers and investors while ensuring the U.S. remains a leader in innovation. The passage of these bills could have far-reaching implications for the future of the crypto industry, both domestically and internationally.

David Sacks, White House Senior Advisor for AI & Crypto, has been instrumental in shaping these acts. The GENIUS Act aims to enhance technological advancement. U.S. policy shifts include the delivery of the GENIUS Act for Presidential approval and the CLARITY Act's Senate consideration. Immediate effects may include clarifications in cryptocurrency regulations, favoring domestic innovation and market growth. Sacks emphasized the need for the U.S. to out-innovate the competition, highlighting the importance of attracting talent and venture capital to the digital asset space.

President Donald J. Trump and Sacks advocate for positioning the U.S. as a leader in digital assets, emphasizing regulatory balance and investment attraction. The market response reflects both anticipation and sector optimism, with the industry anticipating further data releases that may sway market sentiments. The passage of these bills is expected to enhance regulatory clarity and technological growth in the U.S., further solidifying its position as a global leader in the crypto industry.