Home News America COMPETES Act passes House without ‘disastrous’ provision on crypto

America COMPETES Act passes House without ‘disastrous’ provision on crypto

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The House of Representatives has passed a bill aimed at tackling supply chain challenges. In order to keep the US economy and businesses competitive. But without a section that many in the crypto community had condemned for. Giving the Treasury Secretary the right to shut down exchanges.

In fact, The America COMPETES Act was passed by the House of Representatives on Friday. Primarily along party lines, with a vote of 222-210. The amendment offered by Connecticut Representative Jim Himes would appear to allow the Treasury Secretary to have fewer restrictions on surveilling financial institutions with suspected money laundering activities and not to open the matter to public comment. However, lawmakers changed the wording this week to ensure that the Bank Secrecy Act’s present prohibitions preserved.

Before Himes effectively reversed part of his provision, non-profit crypto policy advocate Coin Center attacked the bill for potentially allowing “unchecked and unilateral ability to prevent exchanges and other financial institutions from engaging in bitcoin transactions”. Representative Ted Budd of North Carolina similarly recommended changing the section, calling it a “huge mistake”:

In a statement released on Jan. 27, Budd stated, “The Treasury Department should not have unilateral authority to make large economic choices without affording full due process of rulemaking”. “This draconian measure would not only hinder America’s ability to compete with China, but it would also use China’s heavy-handed approach to suffocate financial innovation in our own country.”

The bill will most likely be sent to the Senate. Where it may face various modifications from other members of Congress. President Joe Biden will be able to sign the bill into law once both chambers have approved it.

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