Global: New Leadership in House Financial Services Committee Sets Focus on Digital Asset Regulation

The House Financial Services Committee has announced its leadership team with a clear focus on advancing digital asset regulation.

Rep. French Hill (R-Ark.), who unveiled the new appointments on Thursday, January 9, emphasized the committee’s commitment to creating a regulatory framework tailored to digital assets. This framework aims to safeguard investors and consumers while ensuring the regulatory system remains appropriately scaled for community banks.

Hill highlighted the committee’s priorities, stating it will ensure regulatory agencies concentrate on their legally mandated missions rather than political agendas.

The leadership team includes Rep. Bill Huizenga (R-Mich.) as vice chairman, a role previously held by Hill. Additionally, Rep. Mike Lawler (R-N.Y.) will serve as vice chair for communications, and Rep. Mike Haridopolos (R-Fla.) takes on the role of committee whip to maintain alignment among Republican members.

Key subcommittee chairs were also announced:

• Rep. Ann Wagner (R-Maine): Chair of the Subcommittee on Capital Markets.
• Rep. Andy Barr (R-Ky.): Chair of the Subcommittee on Financial Institutions.
• Rep. Bryan Steil (R-Wis.): Chair of the Subcommittee on Digital Assets, Financial Technology, and Artificial Intelligence.
• Rep. Warren Davidson (R-Ohio): Chair of the Subcommittee on National Security, Illicit Finance, and International Financial Institutions.
• Rep. Dan Meuser (R-Pa.): Chair of the Subcommittee on Oversight and Investigations.
• Rep. Mike Flood (R-Neb.): Chair of the Subcommittee on Housing and Insurance.

Legislative Agenda on Digital Assets

The committee’s focus on digital assets aligns with broader legislative efforts to establish comprehensive frameworks for the sector. For instance, the Financial Innovation and Technology for the 21st Century Act, which sought to set standards for digital assets, consumer protections, and fund segregation, passed the House but stalled in the Senate.

On the topic of cryptocurrency, Mike Katz, a partner at Manatt, Phelps & Phillips Financial Services Group, noted the increasing bipartisan consensus around innovation-focused legislation for crypto and artificial intelligence.

“Despite the razor-thin Republican majorities, Congress is increasingly aligned on the need for thoughtful, innovation-driven crypto and AI policies,” Katz said. He added that a strong stablecoin bill might progress rapidly, given existing bipartisan support.

As the new leadership takes charge, the committee’s actions will play a pivotal role in shaping the future of digital asset regulation and fostering a balanced, innovation-friendly financial landscape.