A new House subcommittee focused on cryptocurrency will aim to produce clear rules for the asset class.
Patrick McHenry, R-N.C., the new chairman of the House Financial Services Committee, on Thursday announced the formation of the Subcommittee on Digital Assets, Financial Technology and Inclusion.
The subcommittee, chaired by Rep. French Hill, R-Ark., is tasked with providing well-defined rules among federal regulators for the digital asset ecosystem; developing policies that promote financial technology to reach underserved communities; and identifying best practices and policies that continue to strengthen diversity and inclusion in the digital asset ecosystem, according to a news release.
"At a time of major technological advancement and change in the financial sector, it is our job to work across the aisle and promote responsible innovation while encouraging fintech innovation to flourish safely and effectively in the United States," Mr. French said in a statement.
Following the collapse of cryptocurrency exchange FTX, lawmakers in Washington held multiple hearings on what happened and what can be done to address the issues.
At a House Financial Services Committee hearing last month, Mr. McHenry, who was then the committee's ranking member, said, "We have to separate out the bad actions of an individual from the good created by an industry and an innovation."
And while Mr. McHenry said that he believes "in the promise of digital assets and those around the world building on blockchain technologies," not all of his fellow committee members agreed.