Ahead of two “pro-crypto” bills lined up for a floor vote this week in U.S, the Democratic Party issued a whip for House Democrats wherein they were “strongly encouraged” but not “compelled” to vote against the bills.
The party leaders’ email, shared by POLITICO, didn’t ask members to vote no for the Republican-led Financial Innovation and Technology for the 21st Century (FIT21) Act and the CBDC Anti-Surveillance State Act.
FIT21 aims to introduce cryptocurrency classification and hand over regulatory control to the Commodity Futures Trading Commission. The bill is seen as pro-crypto and is supported by 60 companies in a letter urging its passage.
However, Representatives Maxine Waters and David Scott oppose FIT21, with Waters also against the CBDC Act. Democratic leaders criticized FIT21 for potentially undermining legal precedents and weakening investor protections.
Similarly, the CBDC Anti-Surveillance State Act aims to halt Federal Reserve CBDC issuance, but Democrats fear it could hinder the dollar’s global influence. FIT21’s floor debate and passage are expected on May 22.
This development underscores ongoing debate and division within Congress over cryptocurrency regulation.
Also Read: US House Approves Deploying American Blockchains Act 2023
