Regulating the Cryptocurrency Landscape
In a significant step towards regulating the cryptocurrency landscape, the Senate is set to hold discussions on establishing a framework for digital asset market structure, just a week after passing the GENIUS Act, aimed at regulating payment stablecoins.
Upcoming Senate Hearing
This upcoming dialogue will feature key testimonies from legal experts, including:
- Ryan VanGrack, Vice President of Legal at Coinbase
- Greg Xethalis, General Counsel at Multicoin Capital
- Sarah Hammer, Executive Director at the Wharton School of the University of Pennsylvania
Lawmakers from the Senate Banking Committee’s subcommittee on digital assets will convene for this hearing on Tuesday, marking a critical follow-up to recent legislation passed on June 17, which garnered a vote of 68 to 30 in favor of the GENIUS Act, now transferred to the House of Representatives for further discussions and potential amendments.
House Initiatives
Meanwhile, the House is advancing its own approach to digital asset regulation. Recently, both the House Agriculture Committee and the House Financial Services Committee approved the Digital Asset Market Clarity Act—more commonly known as the CLARITY Act. This bill is anticipated to be voted on by the full House soon.
As the Senate considers its approach, it remains uncertain whether it will draft a corresponding version of the CLARITY Act or integrate elements from the House’s proposal into its own framework.
Responses from Lawmakers
Cointelegraph has reached out to Senator Cynthia Lummis, who heads the subcommittee on digital assets, for her insights regarding the upcoming hearing but has yet to receive a reply.
Concerns and Opposition
The introduction of the GENIUS Act, alongside the potential market structure legislation, could address numerous concerns highlighted by industry leaders regarding the current regulatory environment in the U.S. However, both bills face looming opposition, particularly from some Democrat lawmakers questioning the implications of President Donald Trump’s connections to the cryptocurrency sector—especially given the significant financial interests he and his family have in memecoins and their involvement with political contributions from executives in the digital assets sector.
On a related note, Trump expressed his willingness to sign the GENIUS Act outright if the House expedites its passage. However, the president is currently under scrutiny for recent military actions taken against Iran, which raises questions about how much priority digital assets will hold in his agenda.
