A new bill introduced by John Rose, a member of the House of Representatives and the Financial Services Committee from Tennessee, aims to facilitate better communication between the United States Securities and Exchange Commission (SEC) and Commodity Futures Trading Commission (CFTC). The proposed bill, known as the ‘‘Bridging Regulation and Innovation for Digital Global and Electronic Digital Assets Act,’’ seeks to establish a Joint Advisory Committee on Digital Assets that would act as a bridge between the two agencies.
Under Rose’s bill, the Joint Advisory Committee on Digital Assets would provide recommendations, promote law harmonization, and explore methods for describing, measuring, and quantifying digital assets. Additionally, it would assess how digital assets and blockchain technology can enhance efficiency and consumer protection in financial markets.
The proposed committee would consist of at least 20 non-governmental members representing the digital asset industry, users, and academics, with each agency appointing one representative. Furthermore, the agencies would be required to publicly respond to the committee’s recommendations. Committee members would serve for two years and would be expected to convene at least twice a year.
Rose, who has previously expressed concerns about the United States’ approach to regulating digital assets, believes that the current enforcement-based approach has led to increased overseas investment in digital assets. Rose is known for his support of the cryptocurrency industry and has received an “A” rating from the Coinbase-backed Stand with Crypto political action committee. He has also voted in favor of the Financial Innovation and Technology for the 21st Century Act (FIT21) and co-sponsored the CBDC Anti-Surveillance State Act.
Overall, Rose’s bill is aimed at fostering a more collaborative and informed approach to digital asset regulation, and could potentially help address the challenges posed by the evolving digital asset landscape.