House Ag Committee Advances Market Structure Bill, Other Crypto Actions Pending
The U.S. Congress is making significant strides in regulating the cryptocurrency market. Two House committees, Agriculture and Financial Services, simultaneously marked up the Digital Asset Market Clarity Act, aiming to clarify regulatory jurisdictions between the Commodity Futures Trading Commission (CFTC) and the Securities and Exchange Commission (SEC). The Agriculture Committee advanced the bill with a 47-6 vote, highlighting bipartisan support. Chairman Glenn “GT” Thompson emphasized the bill’s role in providing market certainty, filling regulatory gaps, and bolstering innovation while ensuring consumer protection. Ranking Democrat Angie Craig acknowledged imperfections but stressed the need for regulation to protect consumers in a growing market.
The bill designates the CFTC as the primary regulator for digital commodities, the majority of crypto activity. However, disagreements persist. Representative David Scott voiced concerns about insufficient oversight and investor protection, arguing the bill lacks proper funding for the CFTC and allows firms to bypass regulations. He criticized the bill as favoring industry players over consumers. Further concerns were raised regarding potential conflicts of interest, particularly involving former President Trump’s potential involvement in the crypto industry. Representative Maxine Waters even proposed an amendment to investigate possible HUD involvement with cryptocurrencies linked to Trump.
Meanwhile, the Senate is nearing a final vote on the Guiding and Establishing National Innovation for U.S. Stablecoins of 2025 (GENIUS) Act, which focuses on regulating stablecoins. Senate Majority Leader John Thune’s procedural move limits potential amendments, paving the way for a swift vote, possibly as early as Wednesday. Analyst Jaret Seiberg anticipates a smooth passage, given the bipartisan support the bill has already garnered. Senator Bill Hagerty, the bill’s sponsor, acknowledges the tight timeframe for passage.
If passed by the Senate, the GENIUS Act will move to the House, where a similar bill awaits. Lawmakers will then decide how to proceed—integrating it with the Clarity Act, adopting the Senate version, or crafting a new bill. This legislative push reflects a growing urgency to establish a clear regulatory framework for the rapidly evolving cryptocurrency market in the United States.
