The FIT21 Act, the second piece of crypto-focused legislation to progress in Congress this month, was passed by the US House of Representatives on Wednesday evening. Known formally as the Financial Innovation and Technology for the 21st Century Act, it was approved by a vote of 279-136, with 71 Democrats in favor.

Three amendments to the bill were considered, proposed by Reps. Greg Casar (D-Tex.), Brittany Pettersen (D-Col.), and Ralph Norman (R-S.C.). Casar's amendment, which aimed to reduce the fundraising cap for crypto entities from $75 million to $5 million, failed to pass. However, the amendments from Pettersen and Norman did advance.

Norman's amendment mandates the Treasury Department, the CFTC, and the SEC to jointly study and report on any digital asset businesses owned by foreign adversaries' governments, inspired by China's involvement in Prometheum. Pettersen's amendment extends the Bank Secrecy Act to include digital asset entities as "financial institutions" and calls for a study on the risks posed by centralized intermediaries with weak anti-money laundering enforcement.

Pettersen stated that her amendment, alongside the bill, aims to increase oversight of the digital asset market and aid regulators in protecting consumers and investors, though she acknowledged more work is needed.

The FIT21 Act now moves to the Senate. The White House has opposed the bill, arguing it lacks adequate consumer and investor protections, though it did not explicitly state whether President Joe Biden would veto it. This opposition follows the White House's recent announcement to block Joint Resolution 109, which aims to overturn the SEC's Staff Accounting Bulletin 121, a resolution that recently passed with bipartisan support in both the House and Senate.