Illicit Finance Bill Passes The House -Again; Senator Lummis Promises Surprise For Bitcoin Audience

House Floor – illicit finance

The “Financial Technology Protection Act” [H.R.2969] sponsored by Rep. Zach Nunn (R, IA) and co-sponsored by Rep. Jim Himes (D, CT) easily passed the House yesterday afternoon by voice vote.

The Senate version of this bill [S.1340], sponsored by Senator Ted Budd (R, NC) and co-sponsored by Senator Kirsten Gillibrand (D, NY), sits idly in Senate Banking currently.

what you should know: In that the bill establishes a working group within government and establishes a public-private partnership to study the use of digital asset in illicit finance, it seems likely that Senate Banking Chair Sherrod Brown (D, OH) would perceive S.1340 as an “industry bill” given its limited elements even though it’s been around since 2018. Considering Chair Brown’s past pronouncements on industry bills, it appears unlikely to ever make it to a markup in the 118th Congress.

big things

Senator Cynthia Lummis (R, WY), who is scheduled to appear at this week’s Bitcoin 2024 conference said on X yesterday, “ig things are in store this week. Stay tuned!”

Editor’s note: The “B” in “Big Things” was the Bitcoin symbol.

More to be revealed at Bitcoin 2024?

what you should know: Entrepreneur Elon Musk now has “laser eyes” added to  his X account profile

today’s AI hearing

The House Financial Services (HFS) Committee led by Chair Patrick McHenry (R, NC) will hold a hearing today called “AI Innovation Explored: Insights into AI Applications in Financial Services and Housing.”

See the hearing page – starts at 10 a.m. ET in Rayburn.

Dear VP Harris…

Industry association The Digital Chamber moved quickly to reach out to Vice President Kamala Harris yesterday as Democrats coalesce around the VP to replace President Joe Biden on the Democratic Presidential ticket this fall.

The letter states in part, “… we write to urge you to take a forward-looking approach on digital assets and blockchain technology, an area that holds immense potential for innovation, economic growth, and financial inclusion.

See the letter.

more tips:

    • Kamala Harris could mean an end to Democrats’ hard line on crypto—but it’s too soon to say for sure – Fortune on Yahoo

crypto regs drive price

Analysts at Wall Street firm Bernstein believe that a Trump victory in November and the possibility of new crypto regulations under Trump are not “priced in” to crypto – specifically Bitcoin.

The Block quotes the Bernstein analysts who said, “We see significant headroom from institutional investors allocating to crypto and crypto stocks.” Read more.

more tips:

    • JPMorgan says crypto rebounds ahead unlikely to be sustained – The Block

what you should know: Will “number go up” be in a political platform soon? Arguably, Republicans appear to have done this already.

Ether ETF approved

Ethereum ETFs were approved to go “live” today by the SEC yesterday and traditional finance companies are raring to go.

Among several new funds, Fidelity announced its launching the Fidelity Ethereum Fund (FETH).

Fidelity’s Head of Digital Asset Management Cynthia Lo Bessette said in a statement:

“We drew on over a decade of experience in digital assets to deliver a spot ether exchange-traded product that enables investors to gain exposure to ether through thoughtful index and product design supported by a dedicated operations and trading team and industry-leading security.”

more tips:

    • Ethereum ETFs Approved by SEC, Bringing Popular Funds to Second-Largest Cryptocurrency – CoinDesk
    • SEC Clears Final Hurdle for Ether ETFs to Launch Tuesday – The Wall Street Journal

regulator versus industry

Consensys senior counsel Bill Hughes took to the pages of Cointelegraph yesterday for an op-ed on the realities of the crypto industry’s legal battles with the Securities and Exchange Commission.

Just because the SEC recently dismissed its action against “Ethereum 2.0,” says Hughes, does not mean the SEC is any less aggressive about enforcement against the digital assets industry.

Hughes continues, “We will see what happens in November, but the odds of a resounding victory for Trump and even possibly a sweep of the GOP in Congress are getting better by the day. Until then, you should not doubt that the SEC under this leadership will continue to fight tooth and nail against the industry.” Read more.

what you should know: The digital assets industry remains at odds with the Biden Administration not just the SEC.

still more tips

Crypto, GOP spending in Arizona Dem primary irks Latinos – The Hill

Trump, Vance campaign eyes Peter Thiel’s support as tech billionaire stays mum – Fox Business

The Tides of Tokenization – McKinsey