Senator Tim Scott, chair of the Senate Banking Committee, announced plans to advance legislation on digital asset market structure by the end of September. This initiative underscores the need for a clear regulatory framework for effective functioning of the crypto market in the U.S.
Senator Scott's Legislative Initiatives
During a 'fireside chat' with Senator Cynthia Lummis and White House crypto adviser Bo Hines, Scott stated that 'for the market to function completely, we need to move forward with legislation for market structure and stablecoins.' He set a target date of September 30 for passing the bill.
Support from Senator Lummis
Senator Lummis expressed confidence in the committee's support for Scott's initiatives, stating, 'You’re the chairman, and we will do as you wish. We will make sure that we’re ready to do that.' She also highlighted the importance of advancing legislation such as the GENIUS Act.
Goals of the CLARITY Act
Lummis also announced her intention to draft market structure legislation before the August recess, aiming for a September markup. The Senate may look to the House’s CLARITY Act as a reference point in crafting its version, which aims to clarify which digital assets qualify as securities under SEC oversight or commodities under the CFTC.
The upcoming legislation, including the CLARITY Act and the GENIUS Act, is intended to establish clear guidelines for fintech firms and support their innovations in the digital asset market in the U.S.
