US Crypto Bill Nears Markup as Tim Scott Signals Summer Passage

U.S. crypto regulation could move closer to a decisive moment this summer as Senator Tim Scott signaled that a long-awaited bill to clarify rules for Bitcoin (BTC) and other digital assets is ready for committee ‘markup’—a step that would formally launch line-by-line debate and amendments. The comments landed amid a risk-on backdrop in U.S. equities, while renewed Middle East uncertainty kept macro traders focused on energy prices and potential inflation spillovers that often reverberate through crypto markets.

According to reporting shared on X by Bitcoin historian and journalist Pete Rizzo on Wednesday ET, Scott said the digital asset clarification legislation is prepared to advance to markup and claimed President Trump is expected to sign it “this summer,” adding that 13 Republican members are ready to vote in favor. The remarks were not accompanied by an official congressional document or a White House statement, meaning the timeline and vote count remain subject to change as the bill proceeds through the legislative process.

Even so, the signal matters because Washington’s unresolved questions—who regulates which tokens, how exchanges should register, and what standards apply to stablecoins and custody—have become a structural overhang for U.S. market participation. A successful markup would indicate the bill has enough internal support to progress beyond messaging and into enforceable text, potentially improving ‘regulatory clarity’ that institutional allocators often cite as a prerequisite for deeper exposure.

Broader risk sentiment was also supported by U.S. equities pushing to new highs. The S&P 500 briefly moved above 7,200 on Wednesday ET, according to WatcherGuru, extending a rally that has helped underpin appetite for higher-beta assets. WatcherGuru also reported Alphabet’s Google ($GOOGL) market capitalization climbed above $4.5 trillion, with a sharp intraday increase suggesting continued concentration of flows into mega-cap technology—often a barometer for liquidity conditions that can correlate with crypto performance.

At the same time, geopolitical headlines injected a competing narrative into global markets. President Trump suggested a ceasefire with Iran could still unravel, saying he did not know whether it would be necessary to break the agreement and that it “maybe” could happen. Separately, energy analytics firm Vortexa estimated that a closure of the Strait of Hormuz would result in roughly 9 million barrels per day of net oil supply losses, warning that higher Atlantic Basin exports would still be insufficient to fully offset the shortfall.

The White House is also reportedly considering regulatory changes to boost U.S. oil production in response to a sharp decline in Iran’s crude exports linked to maritime disruption, according to reporting attributed to Julianne Geiger. For crypto markets, the oil channel matters less directly than the second-order effects: prolonged energy tightness can feed inflation expectations and complicate the outlook for interest rates, often weighing on ‘risk assets’ when real yields rise.

Iran’s leadership meanwhile struck a combative tone. Iranian President Masoud Pezeshkian said Tehran has completely lost trust in the United States, according to Odaily, while maintaining that dialogue remains important—comments that could temper hopes for rapid de-escalation and keep geopolitical risk premia elevated.

On the industry front, Arbitrum’s security governance again highlighted the tension between decentralization and emergency response. Arbitrum Security Council member Griffin Green said an emergency authority was used to freeze approximately $72 million controlled by North Korea-linked hackers, according to Wu Blockchain, citing an April 23 Coinage interview. North Korea-associated threat actors have repeatedly been accused by investigators and industry security firms of exploiting crypto protocols and laundering proceeds, making rapid containment a recurring priority for major ecosystems.

Corporate crypto accumulation remained in focus as analysts debated the financing mechanics behind Strategy’s continued buying. Benchmark said criticism that Strategy’s preferred-share issuance—specifically the STRC structure—resembles ‘circular financing’ or a Ponzi-like scheme is a “serious misunderstanding,” according to Odaily. Benchmark analyst Mark Palmer argued the approach is designed as a sustainable capital framework that converts market demand for yield into long-duration Bitcoin exposure.

In an SEC Form 8-K filing, Strategy disclosed raising roughly $3.5 billion during the first three weeks of April, with more than 85% coming from STRC issuance. Over the following three weeks, the company bought 51,364 BTC for about $3.9 billion. Strategy’s total Bitcoin holdings have risen to 818,334 BTC, valued at roughly $62.5 billion, placing the company back into an estimated unrealized profit zone of around $700 million based on recent prices. Benchmark added that the structure does not depend solely on perpetual new issuance and could, if necessary, fund preferred dividends through partial Bitcoin sales—though some market participants have warned that any perception of forced selling could become a source of pressure.

Ethereum’s developer pipeline also received a boost. The Ethereum Foundation announced applications are open for the seventh cohort of the Ethereum Protocol Fellowship (EPF7), with a deadline of May 13, according to Odaily. The program, running from June through November, trains engineers to contribute directly to Ethereum’s core protocol with a focus on censorship resistance, open-source development, privacy, and security, spanning client implementations, protocol specifications, testing, and early-stage research. The foundation said EPF7 will run as a smaller, more intensive cohort to increase mentorship density and the impact of contributions, and noted an online information session is scheduled for May 6 at 15:00 UTC.

For crypto investors, the near-term story is being shaped by two forces moving in parallel: a potentially meaningful push for U.S. legislative ‘clarification’ and a macro environment where equities are strong but oil-driven inflation risks could re-emerge. Whether Senator Scott’s stated timeline holds will likely determine how quickly ‘institutional demand’ can translate into broader participation—especially if regulatory milestones arrive at the same time geopolitical volatility tests risk appetite.