Crypto Rules: Senate Takes a Big Step
The Senate Committee on Agriculture, Nutrition, and Forestry has a significant plan in motion. They aim to make cryptocurrency regulations clearer. On January 27, they will discuss a new bill that could reshape the crypto landscape in the U.S.
Key Dates and Process
- January 21: The committee will release the bill.
- January 27: They will hold a markup session to discuss and potentially amend the bill.
Chairman John Boozman supports this plan, stating it promotes transparency and protects consumers while fostering innovation.
Legislative Journey
A markup session in the Senate is akin to a detailed meeting where members debate, amend, and vote on the bill. If approved, it moves to the full Senate, then the House of Representatives, and finally to the President for signing into law.
Potential Challenges
- Government Shutdowns: Last year, shutdowns delayed crypto-related legislation. While another shutdown is possible, it is not highly probable.
- SEC Chairman's Outlook: Paul Atkins believes the President will sign the bill into law this year.
Senate Banking Committee's Role
The Senate Banking Committee is also involved and will discuss the bill on Thursday. The proposed bill grants more authority to the SEC and CFTC, a move widely supported for its clarity. However, certain aspects remain contentious, particularly around stablecoins and decentralized finance (DeFi).
Recent Amendments
This week, the Senate Banking Committee modified the bill to prohibit crypto companies from offering passive yield on stablecoins. This amendment has faced opposition from some U.S. banking groups.
