Democrats Working to Bridge Gap on Crypto Market Framework
A dozen Democratic senators have expressed readiness to collaborate with Republicans to establish a full-fledged digital asset market structure in the United States. The legislation seeks to place crypto markets under the supervision of the U.S. Securities and Exchange Commission (SEC).
Senators hope for bipartisan authorship, a common practice for major legislation. “We would hope that reasonable requests to work together in truth will be met given our mutual interest in dragging our feet,” they stated.
Main Legislative Principles of the Democrats
Key elements of the proposed market structure bill include:
- Proving Market Manipulation – Strengthening oversight to prevent manipulative activities.
- Protection Against Illicit Finance – Measures to combat money laundering and financial crime.
- Non-Security Digital Assets Oversight – Closing gaps in real-time market transparency.
- Preventing Corruption and Market Abuse – Enhancing accountability and regulatory clarity.
These proposals aim to balance innovation in digital assets with strong consumer protections.
Notably, some prominent Democrats, such as Senator Elizabeth Warren, have expressed support for crypto oversight but have not endorsed legislation written by the industry.
Also Read : Swiss Banks Conduct First Legal Payment Using Public Blockchain Technology
Legislative Timeline and Industry Involvement
Republicans are working on a Senate version targeting passage by 2026. The House, controlled by Republicans, passed its crypto market structure bill under the CLARITY Act.
The Senate draft, known as the Responsible Financial Innovation Act, is expected to go through the Senate Banking Committee before a full floor vote. Senator Cynthia Lummis of Wyoming confirmed the committee process.
Industry leaders, including Coinbase CEO Brian Armstrong, have engaged with lawmakers to discuss pathways for shaping U.S. crypto regulation.
