Senate Banking Committee Aims to Pass Crypto Market Structure Bill by September

The Senate Banking Committee is accelerating its efforts to pass comprehensive legislation on digital asset market structure, following the approval of the GENIUS stablecoin bill. This push is led by Senator Tim Scott, who has set an ambitious deadline to enact market structure reforms by the end of September. This deadline signals a focused legislative effort on crypto regulation, aiming to establish a clear regulatory framework for cryptocurrencies and digital assets in the United States.

The proposed legislation seeks to delineate regulatory authority between the Securities and Exchange Commission (SEC) and the Commodity Futures Trading Commission (CFTC). By clarifying which digital assets qualify as securities, the bill aims to reduce legal uncertainties and promote compliance among market participants. This move is designed to enhance market integrity and investor protection while fostering innovation within the crypto ecosystem.

Senator Cynthia Lummis has expressed strong support for the Senate’s timeline, emphasizing the necessity of passing both the GENIUS Act and the market structure bill before 2026. While the GENIUS Act has cleared the Senate and awaits House consideration, the market structure bill has yet to be scheduled for a floor vote in either chamber. Lummis indicated that the Senate might draw from the House’s Digital Asset Market Clarity Act (CLARITY Act) to draft a cohesive and effective market structure framework.

The CLARITY Act, which recently advanced out of committee in the House, proposes clearer guidelines for digital asset classification and regulatory oversight. However, remarks from Scott and Lummis suggest that Senate efforts could take precedence, potentially shaping the final legislative language and timeline. This coordination between chambers is critical to ensuring that the US crypto regulatory environment evolves in a balanced and comprehensive manner.

Initially, the White House anticipated signing the GENIUS stablecoin bill into law by August, reflecting executive support for advancing crypto legislation. However, the Senate’s September target for the market structure bill indicates a phased approach to regulatory reform. Senator Lummis mentioned plans to draft the market structure legislation before the August recess, aiming for markup sessions in September, which aligns with Scott’s deadline.

This timeline highlights the administration’s and Congress’s shared interest in establishing a robust regulatory framework that can support market stability and innovation. The collaboration between Senate leaders and the White House crypto adviser during recent discussions underscores the coordinated effort to address regulatory gaps and foster a secure environment for digital asset growth.

Passing clear and comprehensive market structure legislation will have significant implications for crypto exchanges, stablecoin issuers, and investors. By defining regulatory boundaries and compliance requirements, the legislation aims to reduce fragmentation and uncertainty that have historically hindered market development. This clarity is expected to encourage institutional participation and enhance consumer confidence in digital assets.

Moreover, the GENIUS Act’s progress signals a willingness among lawmakers to innovate within the stablecoin space, potentially paving the way for new products and services. However, the success of these initiatives depends on timely legislative action and effective regulatory coordination.

The Senate Banking Committee’s commitment to passing digital asset market structure legislation by the end of September marks a critical juncture in US crypto regulation. With bipartisan support and alignment from the White House, these efforts aim to establish clear, balanced rules that foster innovation while protecting market participants. Stakeholders across the crypto ecosystem should closely monitor these developments, as the forthcoming legislation will shape the regulatory landscape and influence the future trajectory of digital assets in the United States.