House Financial Services Chairman French Hill has raised concerns that U.S. President Donald Trump’s involvement in memecoins is making it harder for Congress to pass important cryptocurrency legislation.
Speaking at the Reagan National Economic Forum in Simi Valley, California, Hill branded his claims as an absolute fact. Trump and his family’s activity in the crypto space, particularly with memecoins, has distracted lawmakers on both sides of the aisle, he added.
Hill emphasized that Congress has been working for over five years to build bipartisan support for stablecoin regulation and a better market structure for digital assets. He said these rules are essential to bring clarity and trust to the crypto industry and to protect consumers.
If you’re concerned about memecoins and whether they have no value or what the purpose of them is in society.
He urged that they should help him pass a stablecoin bill and a market framework bill. These bills aim to clearly define how digital assets should work in the U.S. economy.
The latest plans in Congress include new regulations for stablecoins, which are cryptocurrencies that are tethered to the US dollar. These would need complete one-to-one reserves and scrutiny from either state or federal authorities. Another bill sets a broader structure for the crypto market, giving the SEC and CFTC clear authority over different parts of the industry.
Hill also issued a warning to new crypto investors. He compared risky memecoins to unregulated stocks traded “just like in our markets today.” He doesn’t recommend buying “a junior gold mining over-the-counter stock that is thinly traded.” Hill urged lawmakers and the public to focus on building strong, clear crypto regulations rather than getting caught up in hype and distractions.
Also Read: Crypto Market Structure Bill: Rep. Hill Sets June 10 Markup Date