Representative Patrick McHenry, a prominent Republican figure, is urging the Senate to expedite the passage of the Financial Innovation and Technology for the 21st Century Act (FIT21) before the upcoming November presidential election.

The FIT21 bill, which garnered broad support in the United States House, passing with a significant majority, is viewed as a crucial step towards regulating the cryptocurrency landscape. McHenry emphasized the urgency of this legislative action, characterizing the House's favorable vote as a "wake-up call" for the Senate.

In an interview with Bloomberg's Balance of Power on May 30, McHenry underscored the importance of maintaining focus on policy implementation and urged swift action from the Senate. He highlighted the bipartisan support the bill received in the House, signaling a readiness among lawmakers to address the regulatory framework surrounding cryptocurrencies.

FIT21, if enacted, would pave the way for most cryptocurrencies to be classified as commodities and fall under the regulatory purview of the Commodity Futures Trading Commission (CFTC). This move is seen as favorable by the crypto industry, as the CFTC is generally perceived as a more crypto-friendly regulator compared to the Securities and Exchange Commission (SEC).

While acknowledging opposition from the SEC and President Joe Biden, McHenry emphasized the significance of passing FIT21, particularly in today's politically divided landscape. He stressed the importance of establishing a regulated environment for digital assets and cryptocurrencies within the United States.

In terms of Senate dynamics, McHenry noted that Majority Leader Chuck Schumer leads a coalition of 48 Democrats, along with three independents, compared to the 49 Republicans. Despite no formal deadlines for Senate action on FIT21, a simple majority of 51 senators is required for its passage.

McHenry also discussed the challenges of advancing other cryptocurrency-related legislation, such as a stablecoin bill, in collaboration with Democratic Representative Maxine Waters. He acknowledged the need to attach such bills to larger legislative initiatives to navigate the Senate's procedural hurdles effectively.

However, McHenry expressed reservations about linking the stablecoin bill to the SAFER Banking Act, which aims to enhance financial access for cannabis companies. He emphasized his opposition to the cannabis banking legislation and reiterated his commitment to advocating for prioritizing cryptocurrency legislation in the Senate.

As the U.S. presidential elections loom on November 5, McHenry's call for Senate action underscores the urgency of addressing cryptocurrency regulation within the current legislative term.