The former member of the Congress Patrick Mchenry and the former president of the CFTC, Rostin Behnam, are suitable that the moment is now for complete legislation of American cryptography, despite the immense work to come. Speaking at the Psaros Center for Financial Markets and Policy from the University of Georgetown, Mchenry underlined the opportunity presented by key legislators such as the senator Tim Scott and the representative French Hill to advance cryptographic regulations significantly.
MCHENRY, now advising A16Z, stressed the need for clear legal frameworks on Patchwork regulatory approaches. He pleaded for proactive legislation to prevent anti-Crypto regulators from stifling innovation. He underlined financial innovation and technology for the law of the 21st century (Fit21) as a legislative cornerstone, anticipating a “hot summer to legislative”.
Stablecoin’s policy is another major front. MCHENRY noted that new stablecoin invoices in the two chambers reflect the proposals of last year and reported an emerging rivalry between the Circle of USDC issuers and the offshore Tether (USDT). The two companies put pressure on Washington, in particular on how foreign stablecoins should be treated under US law. MCHENRY believes that a balanced compromise for TETHER is possible, which recognizes its global role labeled without the exclusion of American markets.
Behnam, on the other hand, stressed the regulatory vacuum, declaring that the cryptographic industry continues to grow without federal cohesive supervision. By reflecting on his mandate, he cited a lack of alignment with the former president of the SEC, Gary Gensler, who hampered progress. Behnam has also warned that even once the laws adopt, the implementation will take time, because market regulators and banking will need more than a year to write enforceable rules.
While the congress is preparing to establish a clearer cryptographic regulatory structure, the two speakers have warned that legislative success is only the start of a longer complex regulatory process.