In a historic turn of events, United States Representative Patrick McHenry, known for his crypto-friendly stance, has been appointed as the interim House Speaker following the removal of U.S. House Speaker Kevin McCarthy. McCarthy’s ousting was the result of a closely contested 216–210 vote by Congress, with eight fellow Republicans joining in the move, making it the first-ever removal of a House Speaker in U.S. history, as reported by Reuters.
The trigger for this significant political shake-up was a motion brought forth by Matt Gaetz, a political rival of McCarthy, who raised concerns about McCarthy’s conflicting promises and actions. While McHenry’s appointment is temporary, it holds significant implications for the digital asset sector. The House Speaker plays a pivotal role in shaping the legislative agenda, controlling committee assignments, and scheduling bills for debate and voting within the chamber.
Regarded as one of the most influential positions in the U.S. government, second only to the president and vice president, the House Speaker’s actions can have far-reaching consequences on various policy matters, including cryptocurrency regulation.
Patrick McHenry has emerged as a notable advocate for the cryptocurrency industry, challenging the Securities Exchange Commission’s (SEC) regulatory approach. He recently questioned SEC Chair Gary Gensler during a Congressional hearing, accusing the agency of attempting to stifle the digital asset ecosystem. McHenry also called for transparency regarding the SEC’s connections with FTX and its former CEO, Sam Bankman-Fried.
Furthermore, McHenry introduced the “Digital Asset Market Structure Proposal” on June 1, aimed at providing clarity, addressing regulatory gaps, and fostering innovation in the cryptocurrency space, a move that garnered praise from industry leaders.
However, McHenry’s tenure as House Speaker is expected to be short-lived, as an official vote for a new Speaker is scheduled for October 11, according to Bloomberg. Speculation is rife about potential replacements, including pro-crypto Representative Tom Emmer and even former President Donald Trump. Nevertheless, none of these potential candidates has publicly expressed interest in assuming the role. Meanwhile, Kevin McCarthy has confirmed that he will not seek re-election as House Speaker.
As the crypto industry continues to grapple with regulatory challenges and uncertainties, McHenry’s temporary appointment offers a glimmer of hope for proponents of digital assets. The upcoming Speaker’s election will undoubtedly be closely watched by both the crypto community and political observers.
