Despite the federal government shutdown, Republican lawmakers are staying the course on their ambitious crypto agenda. Several key senators say they want to adopt a structuring law on digital assets before the end of the year. But will this promise keep in the face of the budget impasse that is blocking Washington?
In brief
- Republican senators plan to adopt a law on the structure of the crypto market by the end of 2025, despite the shutdown.
- John Boozman is negotiating a bipartisan project with the Democrats, an agreement could be announced in a few weeks.
- The CLARITY Act passed in the House in July serves as the basis for the Senate's Responsible Financial Innovation Act.
- Brian Armstrong of Coinbase confirmed that the Senate has agreed on 90% of the issues relating to cryptos.
US Senate accelerates on cryptos despite budget chaos
Several Republican senators refuse to let the budget blockade slow down their regulatory ambitions.
John Boozman, who chairs the Senate Agriculture Committee, is increasing negotiations with his Democratic counterparts to present a bipartisan text “very soon”. Its objective remains unchanged: to have this legislation passed before 2026.
This determination is explained by a relentless political reality. As Senator Thom Tillis points out, the window of opportunity will only remain open until February 2026 at most.
After this deadline, the midterm elections will transform Congress into an electoral arena where consensus will become almost impossible. Legislators know it: it's now or never.
The Senate Banking Committee has also begun promising bipartisan discussions. Sources close to the matter speak of a possible announcement of an agreement within a few weeks.
This dynamic contrasts sharply with the administrative paralysis affecting other sectors, where thousands of federal employees remain on forced leave since the beginning of October.
The initial timetable provided for an examination by the Agriculture Committee at the end of September and by the Banking Committee at the end of October. If the first deadline has not been respected, the Republicans are maintaining their course.
Cynthia Lummis, senator from Wyoming and leading figure in the crypto file, remains convinced that President Trump will be able to promulgate the text by 2026.
Brian Armstrong restarts the legislative machine
The Coinbase CEO's visit to Washington last week marked a turning point. Brian Armstrong met with several parliamentarians and delivered an encouraging observation: the Senate has found common ground on around 90% of issues relating to cryptos. This unexpected convergence gives new impetus to the legislative process.
The Responsible Financial Innovation Act, carried by Republicans in the Senate, builds directly on the CLARITY Act adopted by the House in July. This legislative strategy aims to create a coherent framework for the structure of the digital asset market. Party leaders promised to build on the foundations laid by their House colleagues, a promise they appear determined to keep.
The dynamic remains fragile. The shutdown complicates everything, including the SEC's decisions on crypto ETFs. The agency is still operating with reduced staffing levels and has had to delay the review of several files, although the Litecoin (LTC) and Hedera (HBAR) ETFs have since launched on the NYSE. As for Michael Selig, appointed by Donald Trump to head the CFTC, he has not yet been confirmed by the Senate, his hearing remaining pending.
Despite these obstacles, the crypto industry remains hopeful. The roundtable announced for October 22 took place, bringing together leaders from Kraken, Coinbase, Ripple and Circle to maintain dialogue between legislators and industry players. This mobilization illustrates the strategic importance of these texts for an ecosystem which has been calling for a clear regulatory framework for years.
The American Congress is playing its credibility in the field of crypto regulation. If the Republicans manage to keep their commitments despite the surrounding chaos, the United States could finally provide its digital assets industry with long-awaited legal clarity. Otherwise, we will have to wait until 2027, at the risk of seeing other jurisdictions take a decisive lead.
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