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Coinbase, Robinhood Testify Before House Committee on Republican Crypto Bill

US House Committee on Agriculture hears testimony june 6 Regarding a draft discussion bill on cryptocurrency recently advanced by Republican lawmakers.

Coinbase, Robinhood Announce Support

Representative Glenn Thompson, a lawmaker who initially moved the draft discussion bill, said the purpose of the meeting was to discuss the bill with Democratic members.

He expressed a desire for a “bipartisan, joint committee legislative proposal”.

Thompson noted that Coinbase faced new regulatory action today as the US Securities and Exchange Commission (SEC) accused the company of securities law violations. He said this incident is “exactly why” the present hearing is taking place and expressed opposition to regulation by enforcement.

In his statement, Coinbase CLO Paul Grewal expressed support for the Republican bill, calling it a “strong step to provide overdue regulatory clarity.” He said Congress should separate digital assets and commodities — something he said the bill accomplishes by drawing on past regulations, discussions and findings.

Dan Gallagher, Robinhood’s chief legal compliance and corporate affairs officer, also testified. He called the draft bill “an important step forward in providing needed regulatory clarity,” and said Robinhood “generally” supports the goals of the draft bill.

CFTC chairman expresses limited support

Commodities and Futures Trade Commission (CFTC) Chairman Rostin Benham said he is “encouraged” by efforts to bridge the regulatory gap.

However, he added that the digital commodities market should be protected by “time-tested regulation” and that the new legislation should not “undermine existing laws.” He specifically said that the CFTC should have some powers and more assurance of funding.

Along with Benham, several other former CFTC members also testified. He expressed more support for the change, with former CFTC commissioner Dan Berkowitz noting the “urgent need to close the gap” between the SEC and the CFTC.

Despite Benham’s concerns over the sudden change in regulation, the draft bill would give the CFTC significant power in its current form.

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