On February 11, the U.S. House Financial Services Committee’s Digital Assets, Financial Technology, and Artificial Intelligence Subcommittee will convene a hearing titled “A golden age of digital assets: charting a path forward.” The session aims to address the need for clear digital asset regulations to maintain the United States’ competitive edge in the global market.
Key witnesses include Jose Fernandez da Ponte from PayPal, Jonathan Jachym of Kraken, and Timothy Massad from Harvard University. In his prepared testimony, Ji Hun Kim, president and acting CEO of the Crypto Council for Innovation (CCI), emphasized the importance of a comprehensive federal digital asset policy.
He noted that regions like the European Union, the United Kingdom, Japan, and Singapore are advancing with clear regulations, potentially leaving the U.S. behind. Kim outlined four legislative priorities: enacting comprehensive market structure legislation, passing stablecoin legislation, enhancing coordination between the Securities and Exchange Commission (SEC) and Commodity Futures Trading Commission (CFTC), and supporting decentralized finance and individual empowerment.
Coy Garrison, a partner at the Steptoe law firm, echoed the call for regulatory changes. He observed that the SEC, CFTC, and the Federal Deposit Insurance Corporation (FDIC) are attempting to attract crypto businesses back to the U.S. by reversing restrictive policies from the previous administration. Garrison stated, “The timing is right for Congress and the Administration to work together to implement a much-needed regulatory framework for digital assets in the U.S.” He also urged the government to withdraw lawsuits against crypto exchanges like Coinbase, Binance, and Kraken, advocating instead for the creation of registration pathways for digital asset businesses.
This hearing underscores the growing recognition among lawmakers and industry leaders of the urgent need for clear and comprehensive digital asset regulations to ensure the U.S. remains a leader in the rapidly evolving crypto landscape.