U.S. Representatives Zach Nunn (R-Iowa) and Jim Himes (D-Conn.) have reintroduced legislation aimed at addressing illicit finance and terrorism financing on digital asset platforms. The previous version of this bill passed the House of Representatives last year but was unable to progress in the Senate before the congressional session concluded.
The Financial Technology Protection Act (FTPA), introduced on Thursday, seeks to establish an interagency working group that will include participants from the cryptocurrency industry to evaluate activities tied to terrorism and digital assets.
This earlier iteration of the bill was successfully voted on in the House in July.
“Digital assets are becoming an essential component of the global financial landscape, and the United States must adopt a strategic approach to security and innovation to uphold its leading role,” stated Rashan Colbert, the Director of U.S. Policy at the Crypto Council for Innovation, in a statement endorsing the legislation.
The proposed working group would consist of representatives from multiple agencies, including the Department of Justice, the Financial Crimes Enforcement Network within the Treasury, the Federal Bureau of Investigation, the Department of State, the Internal Revenue Service, and others.
This bipartisan initiative was part of a broader package of cryptocurrency-related measures that garnered support in the House last year. Lawmakers, particularly from the Democratic Party, have consistently prioritized efforts to tackle concerns related to illicit finance. The new administration under President Donald Trump has recognized the significance of digital assets legislation, particularly focusing on stablecoin regulations and a comprehensive framework to govern U.S. crypto markets.