U.S. Intensifies Crypto Regulation Push With Bipartisan Legislation and White House Backing

Congressional efforts to regulate the rapidly evolving cryptocurrency industry are intensifying this fall, with a series of legislative and policy proposals emerging from both chambers of Congress and the White House. The House of Representatives passed the CLARITY Act with bipartisan support, including 78 Democratic votes, signaling a potential shift toward a more structured regulatory approach [1]. The bill, which aims to establish a fit-for-purpose market structure framework, received backing from the White House in its recent crypto report, highlighting the importance of such legislation in supporting growth and innovation in the digital assets sector [3].

The Senate is currently in the drafting stage of its companion bill, with Banking Committee Chairman Tim Scott and a group of bipartisan senators having released a discussion draft. Public comment on the draft is due in the coming days, and the final version of the legislation will be a key focus when Congress returns from summer recess. Meanwhile, U.S. Senator Elizabeth Warren has outlined her own principles for market structure legislation, indicating potential points of contention or negotiation in the final version [1].

In addition to market structure bills, the House advanced the Deploying American Blockchains Act in June, a measure introduced by Representatives Kat Cammack and Darren Soto. This legislation seeks to promote the development and deployment of American blockchain infrastructure. While a Senate vote on the companion bill has not yet been scheduled, its co-sponsors include Senators Bernie Moreno, Tim Sheehy, and Lisa Blunt Rochester [1].

The House Ways and Means Committee has also entered the conversation, holding a July hearing focused on digital asset taxation. Congressman Max Miller is leading these efforts, and U.S. Senator Cynthia Lummis has introduced a new digital assets taxation package. These moves reflect a growing recognition of the need for a coherent tax framework tailored to the unique features of cryptocurrencies [1].

Non-custodial crypto service providers are also receiving attention, with the reintroduction of the Blockchain Regulatory Certainty Act by Representatives Tom Emmer and Ritchie Torres. The bill seeks to clarify the legal status of crypto developers and service providers that do not hold customer funds, addressing concerns about overregulation and unnecessary compliance burdens [1].

The White House has played an active role in shaping the regulatory landscape, urging Congress to establish a formal crypto regulatory regime. A recent report emphasized the importance of a “pro-innovation mindset” and encouraged U.S. agencies to develop regulations that support the cryptocurrency industry while ensuring investor protection [3]. The report also called for closer collaboration between the Securities and Exchange Commission (SEC) and the Commodity Futures Trading Commission (CFTC) to create a balanced and effective oversight system [4].

Stablecoins have also drawn attention in the regulatory debate. The White House proposed a framework specifically for dollar-backed digital tokens, focusing on issues such as redemption rights and operational stability [5]. The newly enacted GENIUS Act is expected to provide a comprehensive regulatory structure for stablecoins, potentially influencing broader market dynamics [6].

Together, these developments reflect a coordinated effort to bring coherence and clarity to the fast-evolving crypto space. By balancing innovation with oversight, policymakers aim to establish a framework that supports economic growth while mitigating risks to investors and the broader financial system [1].

Source:

[1] Forbes, Crypto Legislation To Watch This Fall (https://www.forbes.com/sites/digital-assets/2025/07/31/crypto-legislation-to-watch-this-fall/)

[2] Reuters, US Securities Regulator Lays Out Sweeping Plans to Accommodate Crypto (https://www.reuters.com/sustainability/boards-policy-regulation/us-securities-regulator-lays-out-sweeping-plans-accommodate-crypto-2025-07-31/)

[3] Yahoo, White House Urged to Act on Crypto Legislation (https://finance.yahoo.com/news/white-house-set-unveil-closely-100450310.html)

[4] POLITICO, White House to Release New Crypto Recommendations in Landmark Report (https://subscriber.politicopro.com/article/2025/07/white-house-to-release-new-crypto-recommendations-in-landmark-report-00484253)

[5] The Hill, White House Outlines Digital Asset Regulation Plan (https://thehill.com/homenews/administration/5428635-trump-digital-asset-regulation/)

[6] Mitrade, BlackRock Analysts Predict Major Bitcoin Surge as US Passes GENIUS Act (https://www.mitrade.com/insights/news/live-news/article-3-996366-20250730)