U.S. House of Representatives to vote on FIT21 cryptocurrency bill for the first time today

The U.S. House of Representatives will vote for the first time this afternoon on the 21st Century Financial Innovation and Technology Act (FIT21), a bill that aims to reshape the regulatory landscape for digital assets. It is expected to pass with bipartisan majority support. FIT21 gives the Commodity Futures Trading Commission (CFTC) greater power over the digital asset spot market and creates new jurisdictional boundaries for the Securities and Exchange Commission (SEC). Patrick McHenry, chairman of the Financial Services Committee, hopes the legislation will demonstrate momentum for digital assets. A handful of Democrats are expected to support it along with most Republicans, but prospects are unclear in the Senate, with the White House opposing it but not threatening a veto. Supporters such as Jim Himes and Ro Khanna see the bill as an important step. Opponents such as Maxine Waters worry that deregulation could lead to market chaos. Groups including the AFL-CIO asked the House to oppose the bill, fearing that it would weaken existing securities laws and trigger risks. SEC Chairman Gary Gensler warned that the bill could allow financial fraud to evade regulation.