Last week, Republican lawmakers and President Donald Trump managed to set aside some internal disagreements to advance three cryptocurrency bills through the House. However, there’s still a long way to go before these bills can become law.
During two lengthy sessions, almost all Republicans rallied in favor of the US Innovation (Genius) Act on Thursday. This legislation aims to provide guidance and regulation for stablecoin payments, and Trump signed it into law about a day later.
Additionally, two other bills—the Clarity Act concerning the Digital Asset Market and the Anti-CBDC (Central Bank Digital Currency) Surveillance State Act—are on their way to the Senate as both chambers gear up for their August break.
The three bills form part of the Republicans’ “Crypto Week” initiative, highlighting the urgency for clear regulations in the digital asset sector.
Some Republican legislators have been framing their work as either nonpartisan or bipartisan. While most of the signatures for the Genius Act came from their party, a few Democrats brought up possible conflicts of interest for Trump related to his own crypto ventures. This could suggest some friction from Senate Democrats regarding the two remaining bills.
Senate Republicans are likely to tackle crypto market structures first, with this legislation outlining rules for regulatory bodies like the Securities and Exchange Commission (SEC) and the Commodity Futures Trading Commission (CFTC) to clarify which tokens can be classified as securities under US law.
Transparency First, CBDCs Second?
On Tuesday, four Republican senators unveiled a draft of the Crypto Market Structure Bill. The proposed Responsible Financial Innovation Act implies that the House’s structure effort could serve as a preliminary test for what the Senate plans to do.
Regardless of whether the Clarity Act or the Responsible Financial Innovation Act leads to the end product Republicans desire, both must pass through both chambers and land on Trump’s desk.
The anti-CBDC bill encounters similar obstacles, with only two members voting alongside Republicans to approve the House version. Reports indicate some Republicans expressed concerns during the initial vote on all three bills, fearing the language in the Genius Act might create loopholes for US digital dollars.
Meanwhile, Senator Cynthia Lummis from Wyoming, who chairs the Banking Committee’s Digital Assets Subcommittee, has suggested that the Senate stay in session through August to address some of Trump’s nominations.
A spokesperson mentioned support for “executing the president’s agenda” during this period, hinting that it could be a time to prepare for discussions on the two bills.
CFTC Still Faces Staffing Issues
The Senate has not yet voted on the nomination of CFTC chair Brian Quintenz, which was expected to happen before the August break. There have been reports indicating that a lack of a scheduled committee meeting led to a delay in the voting process.
A spokesperson for Senate Agriculture Committee Chair John Boozman indicated that they hope to align their votes with party interests before the break, as the committee had aimed to decide on the future CFTC chair before the August hiatus.
At the moment, only Chair Caroline Pham and Commissioner Christine Johnson are serving at the CFTC, and both are anticipated to leave their roles before 2026, contingent on the confirmation of Quintenz by the Senate, which could create four vacancies in leadership.
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