More than 100 industry organizations have pressed the Senate to move forward with an increased cryptocurrency market structure bill in order to “secure the future” of the industry and “cement” US leadership in financial innovation.
Cryptocurrency groups lobby Senate to set tokenization date
On Thursday, the Council for Cryptocurrency Innovation (CCI) and the Blockchain Association (BA), joined a coalition of more than 120 organizations from across the ecosystem, urge Senate to speed up Cryptocurrency Market Structure Bill, also known as the Clarity Act.
In a letter to Senators Tim Scott, Cynthia Lummis, Elizabeth Warren, and Ruben Gallego, the cryptocurrency groups asked the Senate Banking Committee to note and set a code date for the CLARITY Act to “provide a comprehensive framework for the federal market structure for digital assets.”
The coalition stressed the committee’s leadership’s commitment to serving the needs of Americans, but noted that this is a “critical moment” for the United States. command in Finance and Digital Policy.
CCI and BA's letter to Senators Scott, Warren, Lummis, and Gallego. Source: Crypto Council for Innovation on X
As they explain, a well-designed market structure system is key to clarifying the roles and responsibilities of market participants, ensuring strong consumer protections, and maintaining U.S. leadership in financial innovation.
“Timely action is crucial,” they said, because the absence of a comprehensive framework threatens to give economic and strategic advantages to other key jurisdictions that have already implemented similar policies.
The message too Clap Actions taken by the Securities and Exchange Commission (SEC) and the Commodity Futures Trading Commission (CFTC) to clarify digital asset market participants.
However, they stressed that “agency action alone is not a permanent solution,” and argued that the United States “cannot risk returning to the previous era of regulation by enforcement, which perpetuated uncertainty for both builders and market participants.”
“Our industry recognizes the importance of this moment. (…) The United States has long been a global leader in financial markets because of its commitment to clear rules, strong institutions, and openness to innovation. Through thoughtful market structure legislation, Congress has the opportunity to extend that leadership to the next generation of fintech. For these reasons, we strongly encourage the Committee to move quickly on digital asset market structure legislation as soon as practicable,” the letter said.
Clarity Act threatens to be delayed in mid-May
The cryptocurrency industry message comes as news emerges of a potential delay in the CLARITY Act tokenization. like I mentioned By Bitcoinist The committee has until this Friday to formally notify the increase if it intends to hold a vote on the CLARITY Act next week.
However, pressure from the banking sector may push the long-awaited markup session, initially expected to be held in late April, to the second week of May, when lawmakers return from recess.
According to reports, Senator Thom Tillis’ office has faced a “targeted pressure campaign” from banking groups, which are reportedly unhappy with the limits on stablecoin revenues included in the current version of the law.
In context, the crypto and banking industries have been fighting over the potential ban on returns and rewards on stablecoin balances. This dispute led to the draft law being stalled for more than three months.
In late March, lawmakers shared A Reviewer A draft agreement with both parties to address the long-standing dispute. The latter language reportedly prohibited platforms from offering a return, directly or indirectly, in exchange for holding a stablecoin, or in a manner similar to a bank deposit.
The draft also limits subrogation and prohibits any activity that is “economically or functionally equivalent” to the interest. Despite fears of a longer delay, tokenization in mid-May remains within the timeline mentioned by many lawmakers and cryptocurrency industry figures.
Justin Slaughter, Paradigm’s vice president of regulatory affairs, said the push won’t start until after Memorial Day. Likewise, Ripple CEO Brad Garlinghouse considered May to be the most important month Very important One month for the bill before lawmakers turn their attention toward the midterm campaign season.
The total crypto market capitalization is at $2.57 trillion on the one-week chart. Source: TOTAL on TradingView
Featured image from Unsplash.com, chart from TradingView.com
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