Rep. Patrick McHenry on spot bitcoin ETFs, border security funding and 2024 race

House Financial Services Committee chairman Rep. Patrick McHenry (R-N.C.) joins “Squawk Box’ to discuss the state of the Republican party, spot bitcoin ETFs, border security funding, 2024 race, and more. For access to live and exclusive video from CNBC subscribe to CNBC PRO: https://cnb.cx/2NGeIvi

» Subscribe to CNBC TV: https://cnb.cx/SubscribeCNBCtelevision
» Subscribe to CNBC: https://cnb.cx/SubscribeCNBC

Turn to CNBC TV for the latest stock market news and analysis. From market futures to live price updates CNBC is the leader in business news worldwide.

Connect with CNBC News Online
Get the latest news: http://www.cnbc.com/
Follow CNBC on LinkedIn: https://cnb.cx/LinkedInCNBC
Follow CNBC News on Facebook: https://cnb.cx/LikeCNBC
Follow CNBC News on Twitter: https://cnb.cx/FollowCNBC
Follow CNBC News on Instagram: https://cnb.cx/InstagramCNBC

https://www.cnbc.com/select/best-credit-cards/

#CNBC
#CNBCTV

SOMETHING HE HAS A GENUINE EXPERTISE IN >>> NEXT GUEST WAS INTERIM SPEAKER FOLLOWING THE OUSTING OF FORMER SPEAKER KEVIN McCARTHY AND HE ANNOUNCED HE WON’T BE SEEKING RE-ELECTION IN 2024. JOINING US NOW, CONGRESSMAN PATRICK McHENRY, CHAIRMAN OF THE HOUSE FINANCIAL SERVICES COMMITTEE. YOU GOT A WAYS TO GO, SO —

>> I GOT ANOTHER YEAR. >> YOU STILL GOT CONSTITUENTS THAT YOU NEED TO LOOK OUT FOR THEIR INTERESTS. WHAT DOES THAT ENTAIL IN TERMS OF CRYPTO? WHAT DOES THAT MEAN YOU NEED TO DO >> LOOK, WHEN THE HOUSE BASICALLY ATTEMPTED TO COMMIT POLITICAL SUICIDE, REPUBLICANS

IN THE HOUSE TRIED TO COMMIT POLITICAL SUICIDE IN THE FALL, IT GUMMED UP THREE OR FOUR MONTHS OF HOUSE FLOOR ACTION SO, I HAVE MAJOR POLICIES IN CAPITAL FORMATION, DATA PRIVACY AND CRYPTO WE HAVEN’T MOVED ACROSS THE HOUSE FLOOR AND I INTEND TO GET THOSE MOVED ACROSS

THE HOUSE FLOOR THIS YEAR. WE CAN STILL DO BIG DEALS. WE CAN STILL DO BIG DEALS, EVEN AMIDST THE LONGEST PRESIDENTIAL CAMPAIGN, GENERAL ELECTION CAMPAIGN IN AMERICAN HISTORY WE CAN STILL GET THESE THINGS DONE AND BUILD CONSENSUS I THINK THERE IS A NEED FOR MARKET STRUCTURE ON CRYPTO

>> THE RECENT ETF AND WATCHING THE S.E.C., JUST SHORT OF KICKING AND SCREAMING, REALLY, AFTER THE COURT SAID ONE THING AND THAT’S NO WAY TO RUN A RAILROAD, IS IT? >> NO. IT IS INEPTITUDE, THEY WENT KICKING AND SCREAMING AFTER THE COURTS DEMANDED THEY TAKE THIS ACTION

NOW YOU HAVE MORE LEGITIMATE MONEY COMING IN, FLOWING IN TO CRYPTO SOME STRUCTURE BEING PROVIDED TO NEW ASSET CLASS THAT, YOU KNOW, HAS ITS PROBLEMS AND NEEDS SOME CLARITY UNDER FEDERAL LAW TO REMEDY IT. BUT WHAT YOU SEE OUT OF GENSLER, YOU HAVE THIS BACKDROP OF REGULATORY POLICY FOR THIS

ADMINISTRATION, PROBLEMATIC FOR THEM, AND THEY’RE HAVING A HARD TIME REBRANDING WHAT THEIR ECONOMIC POLICY IS TO THE POINT WHERE THEY’RE SENDING ADMINISTRATION OFFICIALS OUT TO TRY TO CONVINCE THE AMERICAN PEOPLE THAT WHAT THEY FEEL THEY SHOULD NOT ACTUALLY FEEL AND THAT’S A TOUGH THING IN A

POLITICAL YEAR >> I WATCH — WE CAN TAKE THIS INTERVIEW WHEREVER YOU WANT TO GO, CRAZY EIGHT, AND I DON’T KNOW WHAT SPEAKER JOHNSON’S FUTURE LOOKS LIKE, I DON’T KNOW HOW WE FUND UKRAINE AND THE BORDER AND THERE IS ALL KINDS OF — I DON’T KNOW WHAT YOU CALL

IT, PEOPLE ARE — THERE IS HISTRIONICS AND BACK FLIPS TRYING TO GET THIS DONE. I WILL — THEY DO STICK TO A MESSAGE, I’M TALKING ABOUT THAT DEMOCRATS, WITH THIS IMMIGRATION, WATCH THE PRESIDENT’S PRESS SECRETARY SAY IT IS REPUBLICANS’ FAULT BECAUSE OF THE SUPPLEMENTAL. WE’RE GOING TO HIRE A FEW MORE

BORDER PEOPLE. IT HAS NOTHING TO DO WITH PRESIDENT BIDEN AND I WASHED CHRIS KOONCE SAY THE SAME THING YESTERDAY, THAT REPUBLICANS — IT IS ALL REPUBLICANS’ FAULT THE, THE POROUS BORDER BECAUSE THE SENATE DIDN’T TAKE UP — DID NOT VOTE ON THAT SUPPLEMENTAL — >> THAT’S TWO QUESTIONS.

LET’S START WITH THE BORDER. THAT’S A POWERFUL ISSUE. IT IS A POWERFUL ISSUE FOR THE AMERICAN PEOPLE. THOSE BORDER STATES AND INTERIOR STATES ARE EXPERIENCING — THIS CITY IS EXPERIENCING SOMETHING THAT UNDER THE TRUMP ADMINISTRATION THEY WOULDN’T HAVE TALKED THE SAME GAME. AND SO, THE POLITICS HAVE SHIFTED BECAUSE OF THE

EXPERIENCE IS DIFFERENT FOR THE AMERICAN PEOPLE, AND THIS IS A POLITICAL PROBLEM FOR THE DEMOCRAT PRESIDENT RUNNING FOR ELECTION SO THEY HAVE COME TO THE TABLE ON BORDER POLICY NOW, WE DON’T KNOW THE FULL CONTENTS WHAT THEY’RE TALKING ABOUT IN THE SENATE, SO I’M NOT

GOING TO PREJUDGE THAT. >> DO THEY WANT TO CLOSE THE BORDER OR PROCESS MORE PEOPLE. DID YOU SEE HOW MANY GETAWAYS THERE ARE? >> THEY THINK IT IS DOLLARS. THEY WITHHELD THE DOLLARS DURING THE TRUMP ADMINISTRATION AND THAT WAS NOT WHAT STOPPED THE FLOW AT THE SOUTHERN BORDER.

IT WAS THE REMAINING MEXICO POLICY, THE POWERFUL DRIVER AND THEN SAYING, IF YOU COME HERE, WE’LL SEND YOU BACK AND THAT’S PRESIDENTIAL LEADERSHIP, AND A CHANGE OF POLICY, IT IS NOT REALLY A LARGE DOLLARS THAT WE’RE TALKING ABOUT HERE THAT’S WHERE THE DEMOCRATS ARE OFF KILTER.

>> FOR UKRAINE, IS THIS — >> NOT DOLLARS BUT JUST THE IDEA OF THE MESSAGE YOU’RE SENDING OUT. >> WHAT I’M HEARING FROM THE SENATE, IS THEY DON’T STILL GET THAT MESSAGE THIS IS NOT 50 COMPLEX IDEAS IT IS TWO OR THREE POLICY CHANGES AND SMALL AMOUNT OF

DOLLARS BECAUSE THERE IS A HUMANITARIAN PIECE TO THIS THAT IS REAL. YOU HAVE HUMAN LIVES AT STAKE. BUT WE HAVE A MOMENT RIGHT NOW WHERE CONGRESSIONAL LEADERS NEED TO UNDERSTAND YOU SHOULD NOT FEAR THE DEAL. YOU SHOULD GET AS MUCH GOOD IN PUBLIC POLICY AS YOUR TIME GETS. WITHOUT FEAR OF REPERCUSSIONS.

>> LOGICAL PEOPLE CAN FIND — >> 30 YEARS ON IMMIGRATION POLICY, OF THAT VERY DYNAMIC. >> UNLESS I’M MISUNDERSTANDING, THE REPORT THIS MORNING, PUNCH BOWL, JAKE SHERMAN, SUGGESTING THAT MITCH McCONNELL MADE SOME COMMENTS THAT EFFECTIVELY SAID WE NEED TO — WE NEED — HE WAS

IN FOR UKRAINE AND BORDER AND EVERYTHING TOGETHER. AND EFFECTIVELY HE’S SAYING WE NEED TO SEPARATE IT OUT, FORMER PRESIDENT TRUMP IS GOING TO BE OUR CANDIDATE, HE WANTS TO MAKE IMMIGRATION THE CENTRAL ISSUE AND THEREFORE — >> I DON’T THINK HE WANTS MUCH TO GET DONE ON THIS FRONT.

>> RIGHT HE WANTS NOTHING — NO, THAT’S THE POINT. IT IS A POLITICAL — IT BECOMES A POLITICAL — IF TRUE, IF I’M READING THE SHERMAN STORY PROPERLY AND UNDERSTANDING WHAT MITCH McCONNELL IS SAYING, EFFECTIVELY SUGGESTS THAT POLITICS IS PLAYING A ROLE IN

THIS — AT A LEVEL THAT IS — >> EVEN MORE THAN IN THE PAST? >> THERE IS GAMBLING IN THIS CASINO COME ON. THERE IS POLICY. >> NO ONE SHOULD BE HAPPY ABOUT THAT. >> NO. THAT IS A COUPLE OF MISMANAGEMENT IN NOVEMBER AND

DECEMBER LED TO THESE RAMIFICATIONS IN JANUARY TO MARCH. AND SO WE SHOULD HAVE GOTTEN THIS DONE BEFORE CHRISTMAS THIS SHOULD HAVE BEEN DONE BEFORE CHRISTMAS THE DYNAMICS WERE THE SAME, THE EQUITIES WERE THE SAME, THE POLITICS A LITTLE BIT BETTER BEFORE COMING UP ON SUPER TUESDAY.

WHAT WE SAW IN NEW HAMPSHIRE AND IOWA SO, GETTING IT DONE BEFOREHAND WAS BETTER THE POLITICAL DYNAMICS OF THE PUSH AND PULL OF POLICY STILL THE SAME SO, TAKE THE DEAL FAST, GET IT OVER WITH, MOVE ON, AND WE CAN GO FIGHT IT OUT LIKE PEOPLE NORMALLY FIGHT IT OUT.

THE KEY ISSUE HERE, THOUGH, IS ARE WE GOING TO TAKE A WIN, A POLICY WIN, THAT REPUBLICANS HAVE SOUGHT, FOR 20 YEARS, TO MAKE THINGS BETTER THE DEMOCRATS ARE SAYING WE CAN’T BE VERY SPECIFIC, SO WE NEED TO HAND THIS OVER TO THE EXECUTIVE BRANCH TO IMPLEMENT

FULLY. WELL, THAT’S AN IMPLEMENTATION QUESTION FOR PRESIDENT BIDEN OR PRESIDENT TRUMP. AND CANDIDATE TRUMP SHOULD SEE THAT HE CAN USE THOSE EXECUTIVE FUNCTIONS AND DO A BETTER JOB AT THE SOUTHERN BORDER THAN BIDEN AND YOU CAN STILL HAVE THE FIGHT ABOUT IMMIGRATION AND THE AMERICAN PEOPLE DON’T BELIEVE

THAT BIDEN IS TOUGH ON IMMIGRATION AND THEY BELIEVE TRUMP IS TOUGH ON IMMIGRATION. SO THE ISSUE DOESN’T CHANGE. >> CAN I ASK YOU, ARE YOU A SUPPORTER OF PRESIDENT TRUMP IF IN FACT HE BECOMES THE NOMINEE >> I HAVEN’T PLAYED IN THIS ZONE I HAD A PRETTY COMPLICATED 2023.

>> I KNOW. >> AND I’M — AND I’M BUT WHAT WE JUST SAW — >> YOU MADE COMMENTS AFTER JANUARY 6th, IF YOU GO BACK AND REWIND THE TAPE — >> I STAND BY EVERY WORD I SAID. AND I — BUT I’M A REPUBLICAN, I WANT REPUBLICANS TO WIN.

SO IT IS A COMPLEX THING IT IS A DIFFICULT THING. AND I THINK THE RULE OF LAW AND THE CONSTITUTION