Crypto Market Structure Bill Sparks Tension Between Industry Leaders and US Lawmakers
The debate over the crypto market structure bill has reached a boiling point, with industry leaders and US lawmakers engaging in a heated discussion on Wednesday. The tension arose after a leaked Democratic proposal revealed plans to impose licensing requirements on the decentralized finance (DeFi) sector. According to sources cited by Eleanor Terrett, Democratic senators accused industry executives of acting as an extension of the Republican Party, sparking a public outcry.
The proposed bill aims to mandate know-your-customer and anti-money laundering regulations for DeFi, which has been met with resistance from industry representatives. Lawmakers warned that continued public outcry over the bill or certain provisions could slow progress in enacting regulations into law. This development comes as the US government shutdown enters its fourth week, slowing progress on passing a law on the structure of the crypto market and providing regulatory clarity for the industry in the United States.
Bo Hines, the former director of US President Donald Trump’s digital assets task force, criticized the Democrats’ response, stating, “Let me be clear: A Democratic senator is upset that the crypto community was able to vet the policy proposals he wants to enact into law? How is that not satire?” This statement highlights the deepening divide between industry leaders and lawmakers.
Progress on Crypto Market Structure Law Despite Government Shutdown
Despite the ongoing government shutdown, Wisconsin Representative Bryan Steil expressed confidence that the crypto market structure law, known as the CLARITY Act, is still on track to take effect by 2026. Steil told CNBC on Oct. 8, “I hope that on the other side of the shutdown we have the opportunity to hit the ground running and move the Senate forward quickly.” White House economic adviser Kevin Hassett also predicted that the government shutdown would likely end this week if Republicans manage to win some votes from across the aisle.
Hassett stated, “The moderate Democrats will move forward and give us an open government where we can negotiate with normal order on any policy they want to negotiate.” As the situation continues to unfold, industry leaders and lawmakers are eager to find a resolution and provide clarity on the crypto market structure. For more information on this developing story, visit https://cointelegraph.com/news/crypto-bill-deliberation-industry-execs-us-lawmakers?utm_source=rss_feed&utm_medium=rss_tag_regulation&utm_campaign=rss_partner_inbound
