SE Nebraska News

In a joint effort, U.S. Congressman Mike Flood, Chairman of the House Financial Services Committee, Rep. Patrick McHenry, and Chairman of the Digital Assets, Financial Technology and Inclusion Subcommittee, Rep. French Hill, have sent a letter to Consumer Financial Protection Bureau (CFPB) Director Rohit Chopra expressing their concerns about the Bureau's proposed rule on "Defining Larger Participants of a Market for General-Use Digital Consumer Payment Applications."

The lawmakers are calling for the CFPB to reconsider finalizing the rule as currently proposed and to reopen and extend the public comment period. They argue that the rule lacks sufficient justification, provides unclear guidance on third-party service providers, and fails to address the potential impact on the digital asset ecosystem. Additionally, they believe that the comment period was inadequate and that reopening it for an additional 60 days would allow for more comprehensive input from stakeholders.

In their letter, the Congressmen emphasize the need to avoid introducing more regulatory uncertainty into the payment industry, particularly concerning third-party service providers and digital asset companies. They state, "It's imperative that the Bureau avoids advancing the rule in its current form."

The full letter to Director Chopra can be accessed [here](link).

It remains to be seen how the CFPB will respond to these concerns and whether they will revisit the proposed rule.