The post The view from Capitol Hill appeared on BitcoinEthereumNews.com.

This is a segment from the Forward Guidance newsletter. To read full editions, subscribe. Congress has been busy (by its standards, at least) on the crypto front. First, David Sacks — the country’s first AI and crypto “czar”— hosted an inaugural press conference, during which he declared a commitment to keeping digital asset innovation in the US.  House and Senate Committee leadership also took this opportunity to unveil a new bicameral crypto working group. If this sounds like a committee of committees, it’s because that’s pretty much exactly what it is.  Meanwhile, Sen. Bill Hagerty introduced a new stablecoin bill. The language is pretty similar to text we saw last Congress, focusing on reserve requirements and audits. It also allows non-banks to issue stablecoins, and has at least some bipartisan support, thanks to longtime crypto advocate Democrat Sen. Kirsten Gillibrand.  Then, today, we got the first crypto-related hearing of the session. The Senate Banking Committee this morning gathered to discuss debanking and so-called “Operation Chokepoint 2.0.”  The hearing coincides with reports that the FDIC plans to adjust its crypto guidelines and allow banks to participate in some crypto activities.  It started out mellow enough. Chair Tim Scott talked about a life-changing loan he got from a community bank in the 90s. Ranking Member Elizabeth Warren said her office has identified more than 11,000 cases of individuals complaining of limited access to banking services.  It seems both parties emphatically agree that debanking is happening, and it’s a problem. But what’s causing it and how to stop it are points of contention. It didn’t take long for the party lines to show.  Being stripped of banking privileges for having a few bounced checks is unfair, said Warren, who focused most of her statements on individual customers vs. companies. Not so fast, Sen.…

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Filed under: News - @ February 5, 2025 9:24 pm