Congress weighs crypto policy overhaul to protect digital finance

U.S. Representative Bryan Steil (R-WI) urged swift bipartisan action on digital asset legislation during a joint congressional roundtable on May 6.

The event, hosted by the House Committee on Financial Services and the House Agriculture Committee, focused on the need to update regulatory frameworks for digital assets.

Steil, chair of the Digital Asset Subcommittee, emphasised the risk of the U.S. losing its competitive position in digital finance without clear legislation.

“This legislation is simply too important not to engage in an open and public discussion about how the United States can lead in the Web3 era,” he stated.

Steil expressed hope that all committee members would soon recognise the importance of bipartisan cooperation in crafting crypto policy.

He criticised the current federal approach as relying on outdated regulations and “regulation by enforcement,” which he said has driven jobs and investment offshore.

“Worse, the uncertainty has exposed consumers to greater risk from fraud and mismanagement,” Steil also highlighted, noting consumer risks.

He called on Congress to fulfill its responsibility by passing comprehensive legislation that balances clarity with innovation.

The roundtable discussed a draft framework based on six principles proposed by Representatives French Hill and GT Thompson.

Key topics included reducing regulatory overlap, clarifying agency roles, and creating safeguards to support innovation in the digital asset sector.

The House Committee on Financial Services is expected to lead efforts in shaping the future U.S. digital asset policy.