President Barack Obama lauded the House of Representatives' passage of the financial overhaul bill that on Friday.
The House passed the bill, which is intended to aid consumers and crack down on Wall Street abuses, by a vote of 220-203. No Republicans voted for the bill. The Senate is still working on counterpart legislation.
The Obama administration has made reforming the country's financial system one of its main goals.
The bill creates a new Consumer Financial Protection Agency (CFPA),
imposes new curbs on the multitrillion-dollar derivatives market and
sets up a new system for dissolving failing financial firms.
"The crisis from which we are still recovering was born not only of failure on Wall Street, but also in Washington," Obama said. "We have a responsibility to learn from it, and to put in place reforms that will promote sound investment, encourage real competition and innovation, and prevent such a crisis from ever happening again."