Senate Crypto Bill Talks Hit Roadblocks: Lawmakers Struggle to Reach Consensus
Washington's crypto reckoning stalls—again. The Senate's push for digital asset legislation just slammed into familiar political gridlock.
Consensus? Still MIA.
The Core Sticking Points
Lawmakers can't bridge the divide. On one side, calls for robust consumer protections and clear oversight. On the other, warnings against stifling a multi-trillion-dollar innovation engine. The debate isn't about *if* to regulate, but *how*—and that's where everything falls apart.
Market Apathy vs. Regulatory Urgency
While D.C. debates, the crypto markets barely flinch. Traders have seen this show before: political theater with little real-world impact on the code. It's a classic disconnect—the slow grind of policy versus the lightning pace of blockchain development.
What's Next for Digital Asset Rules?
Expect more hearings, more draft bills, and more stalemate. Real progress likely gets punted—again—to the next congressional session or kicked to regulatory agencies. The industry's plea for clarity meets Washington's favorite product: delayed gratification.
Bottom line: When it comes to writing crypto rules, Congress proves it's better at creating volatility than resolving it. Maybe they should launch a governance token for the process—at least then the incentives might align. For now, the only thing reaching new highs is the frustration.
Discussions in a broader bill spark concerns in the crypto industry
During the Blockchain Association Policy Summit held in Washington, D.C. on Monday, December 8, Moreno highlighted the ongoing discussion regarding what should be included in a broader bill. The United States Senator argued, “I don’t want to push through a bad bill just to say we passed something.” According to him, there is no better deal than a bad deal.
The following day, Moreno announced his intention to meet with Democrats. When reporters inquired about the reason behind this meeting, the Senator mentioned that they WOULD give these democrats room to weigh in on their point of view on this discussion. However, he complained that over the past few weeks, their opinions have been pretty annoying.
In the meantime, reports noted that the House and Senate are developing different versions of a market structure bill that must be reconciled.
Notably, the House approved its version of a bill in July. This bill, known as the Digital Asset Market Clarity Act or Clarity for short, focused on regulating the crypto ecosystem. Following this approval, reports noted that passing bills in the Senate poses a greater challenge than in the House.
Regarding Moreno’s concerns about recent bill talks, analysts discovered that the Senator is a member of the Senate Banking Committee. This committee plays a crucial role in drafting its own version of a crypto market structure bill.
Under the leadership of Republicans, it managed to create a draft that aims to define jurisdiction between two key agencies in the crypto industry: the SEC and CFTC. This draft also seeks to introduce a new term to categorize ancillary assets. This term will clarify which type of cryptocurrencies are not viewed as securities.
To achieve these goals, sources suggested that the Senate Banking Committee should collaborate with the Senate Agriculture Committee. This proposal was raised after last month’s reports highlighted that the Agriculture Committee shared a draft law that would give new power to the CFTC. Both bills must undergo an important process to implement changes before they can be made available for voting during congressional hearings.
Uncertainties surround the upcoming committee’s markup hearing
Following the existence of the two bills, a reliable source shared an audio made last week, revealing that Tim Scott, the Chair of the Senate Banking Committee and a Republican from South Carolina, assured the audience at a “Crypto Christmas” event that there is a practical way to have the committee’s markup hearing on December 17 or 18.
However, Senator Mark Warner, a Democrat from Virginia, insisted that it would be difficult to finalize the markup hearing before the holidays. Warner made this statement during a discussion with Eleanor Terrett of Crypto In America.
According to him, what they are waiting for at the moment is guidelines from the WHITE House on matters concerning quorum and ethics. Notably, Warner is also a member of the Senate Banking Committee. Crypto In America initially hinted at the expected timing of the markup.
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