Patrick McHenry: The Lawmaker Who Built a Foundation for U.S. Crypto Legislation

As an analyst with over two decades of experience tracking the ebb and flow of political power, I can confidently say that Patrick McHenry’s tenacity in pushing for crypto regulation is nothing short of remarkable. His determination to see this industry regulated, even in the face of widespread ruin and reputational damage, speaks volumes about his vision and commitment.

Over the past two years, Representative Patrick McHenry has been persistently working towards the enactment of a detailed regulatory system for the cryptocurrency industry, an endeavor that seemed challenging. However, a failure in Congress doesn’t always mean a final outcome.

In 2022, McHenry, then the Republican leader of the House Financial Services Committee, faced a challenging task as he championed the regulation of an industry that had recently experienced widespread destruction and tarnished reputation. He believed that digital assets regulation was a significant objective worthy of expending a substantial amount of his political influence. Throughout the following years, he waged a fierce fight spanning various committees, parties, and chambers of Congress. His efforts finally paid off when his Financial Innovation and Technology for the 21st Century Act (FIT21) was brought to the House of Representatives floor in May of 2024.

The crypto market-structure bill was not only successfully voted through, signifying the most significant leap in regulatory legislation for the industry thus far, but it also highlighted an undeniable bipartisan backing, as 279 Republicans and 136 Democrats endorsed the proposal. Younger Democratic representatives, eager to break away from their party’s guidance, were instrumental in moving things forward. However, this overwhelming support was insufficient to compel the Senate into approving a corresponding measure, which would have been crucial for the bill’s progress towards becoming law.

With McHenry’s party now holding control of the Senate, it’s likely that a bill similar to FIT21 could gain momentum and pass both chambers during the upcoming session. If it does, President-elect Donald Trump, who recently expressed interest in crypto, is expected to sign it into law. Although McHenry might not be present when this happens, his influence will undoubtedly be felt on any comprehensive cryptocurrency legislation that eventually reaches Trump’s desk.

This profile is included in our list of the Most Influential Figures for 2024, compiled by CoinDesk. To see this year’s complete list of nominees, please visit [INSERT LINK BEFORE PUBLISHING].