Representative French Hill, who chairs the House Financial Services Committee, said that though US financial regulators were moving forward with addressing digital assets, their actions lacked the long-term stability of legislation from Congress.
In a Wednesday Fox Business interview, the Arkansas lawmaker said the US Securities and Exchange Commission (SEC) and Commodity Futures Trading Commission (CFTC) had taken steps to address crypto regulations after the US Senate failed to pass the Digital Asset Market Clarity (CLARITY) Act last month. Both financial agencies have proposed rulemaking to handle different aspects of overseeing and enforcing crypto regulations, but Hill said their response following the failed CLARITY vote “[fell] short” of legislative solutions.
“I still have hope [...] that we can get [CLARITY] passed in the lame duck session of Congress,” said Hill. “We need that permanent law change to make sure America is number one in digital assets and blockchain technology.”
The Arkansas lawmakers comments came after the heads of the SEC and CFTC — Paul Atkins and Michael Selig, respectively — announced plans to move forward with crypto regulation at the direction of US President Donald Trump.
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As Hill noted, the Senate would have only 22 days in session between the US midterm elections in November and the next group of lawmakers entering Congress in 2027. During that lame duck session, the results of the elections could play a role in votes favoring or opposing CLARITY, as lawmakers will be aware of whether they will be returning to Congress or leaving in January.
Empty commissioner seats at both regulators
As of Wednesday, there are a total of seven vacancies at the leadership level for the SEC and CFTC. Commissioner Hester Peirce announced her resignation from the former last week, leaving only Chair Atkins and Mark Uyeda. Selig serves as chair and sole commissioner at the CFTC.