The U.S. Aims to Claim Crypto Supremacy Before the Clock Runs Out

U.S. legislation to establish a regulatory framework for the digital asset market is progressing toward finalization, with key political figures expressing confidence that it will become law by Thanksgiving 2025. Senate Western Caucus Chair and Wyoming Senator Cynthia Lummis, a leading voice for crypto-friendly legislation, stated during a speech at the Wyoming Blockchain Symposium that a bill defining the structure of the U.S. crypto market will be signed by President Donald Trump before the end of the year. Lummis emphasized that the Senate Banking Committee plans to pass the legislation by the end of September, with further consideration by the Senate Agriculture Committee expected in October [2].

The bill, tentatively named the Responsible Financial Innovation Act (RFIA), is intended to build on the previously passed House bill, the Digital Asset Market Clarity (CLARITY) Act, which was signed into law in July 2025. The CLARITY Act, supported by 78 Democrats, seeks to bring clarity to the regulatory roles of the Securities and Exchange Commission (SEC) and the Commodity Futures Trading Commission (CFTC) in overseeing digital assets. Lummis noted that the Senate intends to retain much of the House bill’s structure while making necessary adjustments to align with the Senate’s legislative agenda [2].

Industry experts and lawmakers alike stress the urgency of enacting clear regulatory policies to prevent the U.S. from falling behind in the global crypto race. At the Wyoming Blockchain Symposium, panelists warned that inaction could lead to stagnation and cede influence to other regions, particularly the European Union, which has already implemented the Markets in Crypto Assets (MiCA) regulation. Stuart Alderoty, chief legal officer at Ripple, highlighted that a well-crafted regulatory framework could position the U.S. as a global leader in crypto innovation, but failure to act could result in a loss of competitive advantage [3].

The Trump administration has prioritized making the U.S. the “Crypto Capital of the World,” with the executive branch taking swift steps to support this vision. Just days after his inauguration, President Trump signed an executive order establishing the President’s Working Group on Digital Asset Markets. The group’s July 2025 report laid out a roadmap for integrating crypto into the traditional financial system, emphasizing a pro-innovation mindset. In response, the SEC launched “Project Crypto,” a Commission-wide initiative to modernize securities rules for on-chain transactions, while the Commodity Futures Trading Commission (CFTC) announced its “Crypto Sprint,” aimed at implementing the recommendations of the Working Group Report [4].

The legislative process, however, faces challenges due to the upcoming 2026 midterm elections. With a slim Republican majority in both chambers of Congress, there are concerns that a shift in political power could slow or stall further progress on crypto regulation. Summer Mersinger, CEO of the Blockchain Association, noted that the path to regulatory clarity could be a long one as lawmakers navigate partisan dynamics and focus on re-election campaigns. Nevertheless, with bipartisan support for foundational bills like the GENIUS Act and continued momentum from both the executive and legislative branches, the U.S. appears to be on track to establish a comprehensive regulatory framework for digital assets [4].

Source: [1] ICYMI: One Big, Beautiful Win for the West (https://www.lummis.senate.gov/press-releases/icymi-one-big-beautiful-win-for-the-west/) [2] US Senator Lummis: Crypto market structure bill will be law before the end of the year (https://cointelegraph.com/news/senator-cynthia-lummis-crypto-market-structure-bill-timeline) [3] US must pass regulations or risk losing crypto race (https://cointelegraph.com/news/us-pass-regulations-risk-losing-crypto-race) [4] Crypto's integration into the traditional financial system is underway (https://www.davispolk.com/insights/client-update/cryptos-integration-traditional-financial-system-underway) [5] Finance industry bodies call for changes to crypto rules for banks (https://www.reuters.com/legal/government/finance-industry-bodies-call-changes-crypto-rules-banks-2025-08-19/)