This is a segment from the Forward Guidance newsletter. To read full editions, subscribe.
Investors may still be recovering from tariff policy whiplash, but the world keeps spinning.
Representatives on the House Financial Service’s Digital Assets Subcommittee met today for a hearing on US crypto policy. That topic may not be top of the news cycle, but is still big in Washington.
Rep. Brad Sherman from California, who has long been skeptical of any legislation deemed “pro crypto,” had an interesting take. “New coins” will overtake “old coins,” he said, and he’s all for new coins.
We aren’t sure at all what he means here, but we think he’s saying he’d like to see some disruption in the crypto space.
The hearing comes after six Financial Services Committee Democrats voted to advance the House’s STABLE Act last week. The legislation is similar to the GENIUS Act in the Senate (which also received bipartisan support), but the House’s version gives more power to state regulators to oversee issuers.
The next step for both bills will be a full floor vote. Should the trade war continue to escalate, we expect crypto legislation will move to the back burner. Still, insiders on the Hill tell us stablecoin legislation should be the first crypto measure to pass. Up next is market structure, which has the industry much more divided.
Meanwhile, in the Senate, Paul Atkins’ nomination to the SEC today passed the cloture vote, 51-45. The final vote could be scheduled as soon as this evening.
