The US Senate Banking Committee has once again deferred its work on the crucial crypto market structure legislation, pushing the timeline back to late February or March. This ongoing delay has raised concerns among industry leaders about the growing regulatory uncertainty surrounding digital assets.
Sources familiar with the matter, as reported by Bloomberg, indicated that the committee plans to prioritize housing legislation following a renewed initiative from President Donald Trump to tackle housing affordability issues in the country. Trump has declared that his administration is taking “immediate steps” to enhance homeownership, which he views as essential to the American Dream.
The postponement has left many in the crypto space feeling uneasy, as prolonged regulatory ambiguity could stifle innovation and deter investment. Patrick Witt, Executive Director of the White House”s Crypto Council, has urged lawmakers to expedite their efforts, stating that it is untenable for a multi-trillion-dollar industry to function without established federal regulations.
Momentum for the bill, known as the CLARITY Act, has waned recently, particularly after Brian Armstrong, CEO of Coinbase, withdrew his public support for the draft. Armstrong cited concerns over specific provisions, including those he described as a de facto prohibition on tokenized equities.
Despite the Banking Committee”s hold on the bill, the Senate Agriculture Committee is continuing its legislative efforts. However, insiders have warned that its version may encounter difficulties if it does not garner bipartisan support. Committee Chair John Boozman emphasized that their proposal is built on extensive discussions and feedback from various stakeholders, although its markup has also been delayed until the end of January.
Any finalized legislation will require approval from both committees before progressing. Meanwhile, President Trump has attempted to reassure the crypto community by stating that the market structure bill remains a significant priority for his administration. At the recent World Economic Forum in Davos, he asserted that the US is working diligently to solidify its standing as a global hub for digital assets.
Trump cited the passage of the GENIUS Act the previous year and expressed confidence that Congress is actively working on comprehensive legislation addressing Bitcoin and other digital currencies.
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