Thin Senate Turnout for Crypto Market Structure Hearing

Thin Senate Turnout for Crypto Market Structure Hearing

A recent Senate Banking Committee subcommittee hearing on digital asset market structure saw significantly low attendance, raising questions about bipartisan support for crypto regulation.

Only five out of the usual eleven senators were present to question former regulators and industry experts. Subcommittee Chair Cynthia Lummis attributed the low turnout to scheduling conflicts, acknowledging the need for broader participation in crafting effective legislation.

Those present included Senators Lummis (R), Dave McCormick (R), Bill Hagerty (R), Bernie Moreno (R), and Angela Alsobrooks (D). They questioned former CFTC Chair Rostin Behnam, Coinbase’s Ryan VanGrack, Multicoin Capital’s Greg Xethalis, and University of Pennsylvania's Sarah Hammer. The discussion focused on potential legislation to establish a crypto market structure, following the passage of the GENIUS Act.

Senator Lummis expressed concern about the lack of bipartisan engagement, suggesting potential underlying conflicts of interest involving administration members with family ties to the crypto industry. Senator Alsobrooks, the sole Democrat present, was a GENIUS Act cosponsor.

Partisan Divisions and Potential Conflicts

Senator Moreno also highlighted the apparent partisan divide on the proposed legislation. While the bipartisan GENIUS Act passed, some Democrats have indicated continued opposition to future legislation without addressing perceived conflicts of interest involving the President.

This Senate activity comes alongside the House of Representatives’ progress on the Digital Asset Market Clarity (CLARITY) Act, which passed committee in June and awaits a floor vote. The contrasting levels of engagement between the two chambers highlight the challenges in establishing a unified regulatory framework for crypto assets.

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