The chairman of the SEC condemned the cryptocurrency bill FIT21, stating that it would "weaken" the regulatory agency's oversight of cryptocurrencies and capital markets

ChainCatcher news, SEC Chairman Gary Gensler stated on Wednesday that the Financial Innovation and Technology for the 21st Century Act (referred to as "FIT 21") will harm investor interests and hinder the work of the SEC.

He said, "FIT 21 will create new regulatory gaps, undermining decades of precedent regarding the regulation of investment contracts, exposing investors and capital markets to immeasurable risks."

FIT21 is a bill jointly proposed by the House Agriculture Committee and the House Financial Services Committee, aimed at clarifying how the SEC and the Commodity Futures Trading Commission (CFTC) regulate cryptocurrencies. The bill creates the term "digital commodities" for digital assets that do not meet the definition of securities, placing these assets under the jurisdiction of the CFTC.