As comprehensive regulatory efforts targeting the cryptocurrency market in the US gain momentum, Senator Cynthia Lummis made important statements. Lummis, the architect of the “Bitcoin Strategic Reserve Act” bill, stated that this critical legislation, known publicly as the CLARITY Act, will be finalized by the end of the year.
Speaking at the DC Blockchain Summit in Washington D.C., Lummis stated that the Senate Banking Committee will consider the bill in the second half of April, following the Easter break. The committee is expected to make changes to the bill before submitting it for a vote. Lummis clarified the timeline, saying, “In April, after the Easter break, we will markup the bill.”
This regulation is critical to establishing the legal framework for the cryptocurrency market in the US. The bill aims to clarify the boundaries of authority between the CFTC and the SEC, define the conditions under which digital assets are considered securities or commodities, and introduce new transparency obligations.
Last year, the House of Representatives passed a similar bill, the CLARITY Act, with bipartisan support. However, the process was more difficult in the Senate. In January, the Senate Agriculture Committee passed its version with only Republican votes, while the Democrats did not support the bill.
On the other hand, the critical hearing that the Senate Banking Committee had planned to hold in January was canceled at the last minute after cryptocurrency exchange Coinbase withdrew its support.
*This is not investment advice.
