House Financial Services Hearing With Treasury On Tuesday; Biden Chief Of Staff Gets Blockchain Invite

hear ye, hear ye – July 9

The House Financial Services (HFS) Committee led by Chair Patrick McHenry (R, NC) will hold a hearing on Tuesday, July 9, titled “The Annual Testimony of the Secretary of the Treasury on the State of the International Financial System. 10 a.m. start time in Rayburn. See hearing page.

what you should know: Digital assets could pop up here – in particular, stablecoins and the pending “Clarity For Payment Stablecoins Act” [H.R.4766] sponsored by Chair McHenry. Treasury Secretary Janet Yellen has expressed interest in Congress legislating on stablecoins in the past (see February hearing) while advocating for a “federal floor.” Republicans favor a dual banking approach which empowers the States. Also, connecting the discussion of the “Dollar as the World’s Reserve Currency” to stablecoins seems logical for this hearing with international implications.

Meanwhile, Chair McHenry awaits a must-pass in the current Congress intertwined with a final negotiation with Dem leadership and HFS Ranking Member Maxine Waters (D, CA) in order to get his stablecoin bill moving toward law.

roundtable – July 10

The still-cloaked blockchain roundtable being produced in Washington D.C. on Wednesday, July 10 is starting to (kinda) identify its participants. Previously, other than Rep. Ro Khanna (D, CA) and rumors of entrepreneur Mark Cuban, someone from the Administration was supposed to join. Politico’s Eleanor Mueller reported late Monday that Rep. Khanna has invited White House chief of staff and former Facebook board member Jeff Zients.

roundtable – why Zients

According to CNBC on Monday, venture capitalist John Doerr organized a meeting on June 14 in California for Zients and “more than a dozen crypto enthusiasts” who told him that “[SEC Chair Gary] Gensler should not be the only public face of the Biden administration’s crypto policy, since his remarks could lead crypto holders to back Trump instead of Biden.” Read the article.

what you should know: The message from digital asset supporters remains, “You want votes? Support digital assets and its effective regulation.”

double commissioner

Republican Securities and Exchange Commission (SEC) Commissioners Mark Uyeda and Hester Peirce are once again aligned on their vision for the treatment of digital assets by the agency.

On Monday, in a statement referencing something called “index-linked annunities,” Uyeda argued that the Commission (that means all five commissioners, both Republicans and Democrats) admit that the usual S-1 registration framework isn’t quite right for the new product. Uyeda takes it a step further and says, “Consideration should be given to allowing variances from Form S-1 for crypto digital assets, similar to that given for fund and insurance products and other securities products.” Read the statement.   

On Tuesday, Commissioner Peirce re-tweeted Uyeda’s suggestion on X.

what you should know: There is no greater partisan divide about digital assets than the Securities and Exchange Commission.

still more tips

Failed Bank Silvergate Paying $63 Million to Settle Regulatory Probes – The Wall Street Journal

Opinion: The time for US stablecoin regulation is now – Blockworks

Robinhood’s next crypto play is to launch future contracts in the U.S. and Europe – Quartz