Patrick McHenry, the architect of key crypto legislation and former House Financial Services Chair, is taking his policy expertise to Andreessen Horowitz (a16z) as a senior advisor. The former North Carolina congressman, known for his efforts to modernize financial regulations, announced his new role in a post on X (formerly Twitter) on Wednesday.
McHenry, who briefly served as acting Speaker of the House in 2023 after the ousting of Kevin McCarthy, has long pushed for policies that reduce bureaucratic hurdles for startups and emerging technology companies. In his announcement, he emphasized the need to “level the playing field” for small tech innovators, arguing that Washington has historically placed unnecessary barriers on the industry.
“For too long, D.C. has created barriers for startups and emerging companies. It’s time to level the playing field and ensure that Little Tech – the next generation of builders – gets a fair shot. As a policy maker, I promoted solutions that removed bureaucratic barriers for American entrepreneurs. At [a16z] I am eager to continue that work and ensure policymakers understand why innovation needs room to thrive.”
McHenry’s transition from Congress to one of the most influential venture capital firms signals a growing collaboration between policymakers and the tech sector, particularly in crypto, fintech, and Web3 development. His insights and relationships in Washington could help a16z and its portfolio companies navigate regulatory challenges, while also influencing the future policy landscape for digital assets.
A Champion for Financial Innovation
Patrick McHenry’s move to Andreessen Horowitz (a16z) follows a two-decade congressional career, where he became one of the most influential voices in shaping U.S. crypto regulation. Before retiring earlier this year, McHenry spent his final years in Congress leading efforts to advance digital asset legislation, including bipartisan stablecoin regulations and broader crypto market oversight.
McHenry played a central role in crafting stablecoin legislation alongside Rep. Maxine Waters (D-CA), aiming to establish a federal framework for dollar-backed digital assets. He also spearheaded the Financial Innovation and Technology for the 21st Century Act (FIT21), a bill that sought to grant the Commodity Futures Trading Commission (CFTC) more authority over crypto spot markets while clarifying the Securities and Exchange Commission’s (SEC) role in regulating digital assets. FIT21 saw strong bipartisan support, with 71 Democrats—including former House Speaker Nancy Pelosi—voting in favor of the bill.
McHenry’s arrival at a16z comes as the firm ramps up its political influence in Washington. The venture capital giant was one of the largest contributors to Fairshake, a crypto-focused super PAC, donating $70 million in the last election cycle. The firm has already committed $116 million toward lobbying efforts for the next round of elections, signaling its intent to shape the regulatory landscape for digital assets.
With McHenry now advising a16z, his deep understanding of legislative processes and established relationships in Washington could play a key role in navigating regulatory challenges for crypto startups and ensuring pro-innovation policies gain traction.
Implications for the Crypto Industry
The inclusion of seasoned policymakers like McHenry in leading tech firms signals a maturation within the cryptocurrency and fintech sectors. It suggests an increasing recognition of the importance of regulatory compliance and proactive engagement with lawmakers. As the 2024 elections approach, McHenry’s influence at a16z could shape the next phase of crypto legislation, determining whether the U.S. leads or lags in digital asset innovation.
Quick Facts:
- Former House Financial Services Committee Chair Patrick McHenry has joined Andreessen Horowitz as a senior advisor.
- McHenry aims to assist tech innovators in navigating the policy landscape to facilitate growth and development.
- McHenry’s expertise is expected to influence policy development, potentially leading to a more favorable regulatory environment for digital assets.
