- Congress is back in session, and leading Democrats have said they want to pass crypto legislation before November.
- They don’t have much time, and other pressing issues are on the minds of Democratic senators.
A version of this story appeared in our The Guidance newsletter of September 9. Register here.
With a tight timeline and a looming government shutdown, the chances of cryptocurrency regulatory legislation being considered before the US election are slim.
Today, Congress is back in session after the summer — but only for three weeks before lawmakers take another break to hit the campaign trail for the Nov. 5 election.
Government funding expires on September 30 and a fight is raging between the parties over issues such as voting conditions.
Senate Democratic Majority Leader Chuck Schumer has said he wants to pass crypto legislation before the end of the year.
However, the issue of cryptocurrencies was not mentioned in a letter he sent to Democratic senators, calling for bipartisan cooperation to avoid an “unnecessary and painful shutdown.”
Cryptocurrency laws could be bundled into larger bills and passed during the so-called “lame duck” session, meaning after an election and before the first day of the new Congress.
Lawmakers tend to use these sessions to pass urgent bills or resolve outstanding issues.
Join the community to receive our latest stories and updates
Two draft laws on market structure are currently being developed:
- The FIT21 Act, the brainchild of House Financial Services Committee Chairman Patrick McHenry, who is set to retire at the end of 2024.
- Another bill, introduced by Senate Agriculture Committee Chairwoman Debbie Stabenow, has been delayed. Stabenow has also said she will not seek reelection.
That doesn’t mean September won’t be a busy month, though.
Hearing schedule
The hearings are apparently seen as a way for lawmakers to gather information before drafting bills.
But they are widely seen as a waste of time — opportunities for lawmakers to show off and take the stage questioning witnesses, while the real work is done in committee.
They can, however, serve as an indicator of how legislators think about a given issue.
Securities and Exchange Commission Chairman Gary Gensler could face similar questions in late September about his agency’s enforcement agenda, which includes a series of actions against crypto companies.
Nothing is yet scheduled, but Gensler is expected to appear before both houses of Congress.
Some upcoming hearings:
Contact me at joanna@dlnews.com.
