The bill crypto FIT21 is approved by the US House: Joe Biden is against it but will not exercise the right of veto

Yesterday, Joe Biden declared that he is opposed to the crypto bill “Financial Innovation and Technology for the 21st Century Act” (FIT21) approved in the USA by the House of Representatives with a vote of 279-136.

The President of the United States implies an insufficient protection towards consumers and hides potential regulatory gaps.

In any case, he stated that he will not use the right of veto to block the proposed law should it also pass the vote in the Senate.

Let’s see all the details below.

The crypto bill FIT21 obtains the majority in the US House: Joe Biden declares himself against it

Yesterday in the United States the crypto sector achieved an unprecedented victory regarding the legislative branch of the country, which could definitively change the approach to the digital asset markets and cryptographic activities.

The US House of Representatives, with a historic vote of 279 members in favor against 136 members opposed (and 20 abstentions), approved the bill “Financial Innovation and Technology for the 21st Century Act”, also known by the acronym FIT21, albeit without the sympathy of President Joe Biden.

What is most surprising about this result is that among the 279 voters in favor of FIT21, as many as 71 belong to the democratic branch (with 208 republicans), which has always been against the crypto world and the application of laws that could support the growth of the industry.

This is a clear signal of a reversal in political thought, with democratic supporters expressing dissent against what has been carried out in this field by the Biden administration and the SEC.

On this subject, we report the words of the democratic representative Josh Gottheimer who, in relation to the bill, stated: “We need rules of the road“, following the comment of Maxine Waters (D-Calif.) who defined the FIT21 as “a well-thought-out, considered, and bipartisan legislation“

Among the supporters of the law, we also find the former Speaker of the House of Representatives Nancy Pelosi, known for her very active investments in the US stock market.

There were, of course, also opponents, such as Congressman Brad Sherman, who in his speech explained how the new law could favor a competitor of the US dollar “used by the worst criminals in the world“.

In any case, the new crypto law has not yet come into force and will have to be subjected to the vote of the Senate, which represents the upper part of the United States Congress in Washington.

Precisely the Senate represents the most difficult hurdle to overcome, as there is no counterparty law and the necessary committees have not done the same level of work on the bull and bear model of cryptocurrencies.

Gli Stati Uniti sono rimasti indietro rispetto ad altre giurisdizioni globali nello stabilire regolamenti crittografici e, nonostante la vittoria storica di ieri alla Camera, l’implementazione del FIT21 è tutt’altro che completa.

The probabilities of an approval even in the Senate remain still very low.

Biden will not exercise the right of veto if the law also passes in the Senate

Dopo il passaggio alla Camera del disegno di legge crypto FIT21, Il presidente degli Stati Uniti Joe Biden ha espresso la propria contrarietà alla proposta, dichiarando quanto segue in un comunicato stampa della Casa Bianca:

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“The Administration is eager to work with Congress to ensure a comprehensive and balanced regulatory framework for digital assets, building on existing authorities, that will promote the responsible development of digital assets and payment innovation and help strengthen the United States’ leadership in the global financial system. H.R. 4763 in its current form lacks sufficient protections for consumers and investors engaging in certain digital asset transactions.”

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Le critiche di Biden seguono le preoccupazioni rese noto dal commissario della Securities and Exchange Commission Gary Gensler, che nella giornata di ieri prima del voto alla Camera aveva pubblicato la sua dichiarazione di opposizione alla legislazione, affermando che avrebbe danneggiato gli sforzi dell’autorità di regolamentazione per sorvegliare i mercati dei capitali tradizionali e i mercati crittografici.

In fact, the Financial Innovation and Technology for the 21st Century Act would establish a regime to regulate the U.S. crypto markets, setting consumer protections, the installation of the Commodity Futures Trading Commission (CFTC) as the primary regulator of digital assets and would more clearly define what makes a crypto token a security or a commodity.

Someone who feels particularly involved in the “security token” issue (always entrusted to the incapacity of the SEC), like the co-founder of Ripple Brad Garlinghouse, is celebrating after yesterday’s results.

Il mercato delle criptovalute è noto per i suoi cicli di bull e bear. Durante i periodi di bull, i prezzi tendono a salire rapidamente, mentre nei periodi di bear, i prezzi possono scendere altrettanto velocemente.

As mentioned earlier, the bill will now move to the Senate hoping for a twist and an approval in this venue as well.

The passage to the House with 71 Democrats indeed marks a turning point for the regulation of the cryptocurrency sector, which could have a follow-up in the future.

The Biden administration then stated that, if the FIT21 really passed in the Senate, the president would not exercise the right of veto that could potentially send the bill back to Congress.

Unlike what was done recently with another bill that sought to overturn the controversial SEC accounting guidelines, in which Biden used his veto powers, in this case he will not oppose in any way if democrats and republicans were to reach a legislative agreement.

BULLISH for the entire sector!