Senate Crypto Regulation Bill Nears Key Vote as Bipartisan Talks Show Strain

Senate Democrats have not walked away from negotiations over landmark legislation to regulate the U.S. crypto industry, but mounting frustration is clear as lawmakers rush to finalize a new draft ahead of a crucial week. As the weekend approaches, congressional staff are working quickly to produce updated legislative text for what could be the most significant crypto market structure bill in U.S. history.

Senate Banking Committee Chairman Tim Scott formally announced that the long-anticipated markup hearing will take place on January 15, marking a major step forward for the Responsible Financial Innovation Act. The markup will allow senators to debate amendments and decide whether the bill advances to a full Senate vote. However, Scott emphasized that despite months of bipartisan negotiations, the process must now move forward, even as final language is still being prepared.

The Senate Agriculture Committee, which is partnering on the crypto legislation, has not yet confirmed whether it will hold its own markup next week. Uncertainty remains around the position of Senator Cory Booker, the leading Democratic negotiator on that committee, whose concerns could delay progress. Nevertheless, committee leadership maintains that bipartisan discussions are continuing in good faith.

Republican Senator Cynthia Lummis signaled progress by sharing a glimpse of the draft legislation, suggesting that the framework of the crypto regulation bill is taking shape. Still, Democratic support remains fragile. Lawmakers such as Senator Ruben Gallego have made it clear that provisions preventing senior government officials from profiting off the crypto industry are a non-negotiable demand, especially given President Donald Trump’s deep involvement in digital assets.

Despite rising tensions, the sustained bipartisan engagement reflects rare congressional consensus on the need for crypto regulation. Industry advocates view the ongoing talks as a positive sign, even as disagreements persist over issues like stablecoin yields and decentralized finance protections.

If both committees pass their respective bills, the combined legislation is expected to move smoothly through the House. However, securing enough Democratic votes in the Senate remains the final and most critical hurdle for comprehensive U.S. crypto regulation to become law.