Republican lawmakers establish joint committee to provide clarity on cryptocurrency.
Republican lawmakers are announcing a bicameral working group to expedite crypto regulations, with a focus on stablecoins and digital asset market rules to bring much-needed clarity to the industry.
They are intensifying efforts to establish clear guidelines for the crypto industry, forming a bicameral working group to advance legislation on stablecoins and digital asset market structures.
The announcement, made on Feb. 4 at a press conference on Capitol Hill, signifies a collaborative effort between key House and Senate leaders to establish a structured framework for crypto regulation, a longstanding issue in legal uncertainty.
The working group comprises members from four major committees—the House Financial Services Committee, the House Agriculture Committee, the Senate Banking Committee, and the Senate Agriculture Committee—indicating that lawmakers view crypto regulation as an issue spanning multiple financial oversight sectors.
Representative French Hill of Arkansas, alongside Senators Tim Scott and John Boozman and Representative Glenn Thompson, will have prominent roles in shaping these policies by leveraging existing legislative efforts and introducing new proposals.
Lawmakers aim to build on the Financial Innovation and Technology for the 21st Century Act (FIT21), which passed a House committee in 2024, in addition to utilizing a new stablecoin bill introduced by Senator Bill Hagerty on Feb. 4 as a foundation for further discussions.
Senate Banking Chair Tim Scott emphasizes the importance of speed, striving to shepherd the crypto bills through the Senate within the initial 100 days of the congressional session.
Discussions with Democratic colleagues have commenced, indicating the possibility of bipartisan support for certain elements of these bills.
During the press conference, David Sacks, Trump’s crypto and artificial intelligence czar, discussed the broader vision for digital assets, describing this as a pivotal moment to establish a “golden age” for crypto in the U.S.
His responsibilities extend beyond Congress as he oversees a separate White House initiative to explore the possibility of a government-held Bitcoin (BTC) reserve.
Trump’s executive order on Jan. 23 laid the groundwork for that dialogue, along with directives to prevent the development of a central bank digital currency.
For years, the lack of definitive regulations has driven many crypto firms to establish operations abroad, where regulatory frameworks are clearer. If successful, this working group could finally provide the long-awaited clarity to the crypto industry.