Keystone Today

On May 22, 2024, the House passed H.R. 4763, the Financial Innovation and Technology for the 21st Century Act (FIT21). This bipartisan framework establishes clear and functional federal requirements over digital asset markets.

"Clarity in digital assets is crucial. Today's bipartisan passage of FIT21 is a significant milestone. It underscores the House Committees on Agriculture and Financial Services' efforts to establish a much-needed regulatory framework," Chairman Thompson stated. "This framework is designed to protect consumers and investors while fostering American leadership in the digital asset space. I extend my thanks to Chairman McHenry for his leadership and that of our subcommittee chairs, Rep. Johnson and Rep. Hill, in moving this legislation."

Rep. Dusty Johnson commented, “House passage of FIT21 is necessary to bring stability and clarity to the digital assets ecosystem. Without this bill, digital asset innovation will continue to be filled with uncertainty. Today’s victory gets us one step closer to establishing clear rules of the road for developers in the industry so America can remain a global hub for tech and finance innovation. I hope the Senate considers this bill soon so we can finalize this essential framework.”

Rep. French Hill added, “Today is a historic day for American consumers, investors, and innovators. I applaud the House’s bipartisan passage of FIT21, which crafts a ‘fit for purpose’ regulatory framework for digital assets that protects consumers and investors while securing the United States as a leader in blockchain innovation. As FTX’s collapse showed, we need a functional regulatory framework in place to create consumer protections that currently do not exist while ensuring America is a leader in the digital asset market.”

Hill continued, “This legislation passed in a bipartisan manner, signaling that consumer protection and American innovation are priorities for lawmakers on both sides of the aisle. I thank House Financial Services Chairman Patrick McHenry, House Agriculture Committee Chairman G.T. Thompson, and Agriculture Subcommittee Chairman Dusty Johnson for their outstanding leadership and collaboration on this bill, and I applaud each member of our committees who worked tirelessly to move this landmark legislation across the House Floor.”

The effort began in January 2023 when Glenn "GT" Thompson (PA-15), Chairman of the House Committee on Agriculture, and Patrick McHenry (NC-10), Chairman of the House Financial Services Committee, initiated a joint committee effort to craft market structure legislation for digital asset markets.

Chairman Thompson; French Hill (AR-02), Chairman of the Subcommittee on Digital Assets; Dusty Johnson (SD-AL), Chairman of the Subcommittee on Commodity Markets; Tom Emmer (MN-xx), Majority Whip; and Warren Davidson introduced H.R. 4763 on July 20, 2023.

FIT21 extends existing securities and commodity laws where appropriate while providing tailored changes to address unique risks and benefits associated with digital assets.

For more information about H.R. 4763 including text summaries or myth vs fact breakdowns visit relevant resources provided by Congress.