The proposed U.S. crypto market structure bill may not pass until 2027, with implementation pushed to 2029, according to TD Cowen. Political dynamics, especially around the upcoming midterm elections, are likely to slow the process, as Democrats may seek to negotiate favorable terms regarding conflict-of-interest provisions.

The U.S. Senate's crypto market structure bill faces delays as Democrats push for stronger regulations and ethics rules, while Republicans claim the bill is nearly ready. With the Congressional calendar running out, unresolved issues about oversight and market integrity threaten to derail progress. Lawmakers are also under pressure from both parties as they navigate differing priorities and impending deadlines.

This article discusses ongoing efforts in the U.S. Congress to pass significant crypto legislation, including a market structure bill that aims to clarify the regulatory status of various digital assets. Key issues delaying progress include stablecoin yield, conflicts of interest, and the regulation of decentralized finance (DeFi).

U.S. Senate Democrats are set to meet with leading crypto executives this week to discuss the stalled market structure legislation crucial for regulating the crypto sector. Despite initial optimism, the bill's progress has been hampered by contentious negotiations and political delays, prompting industry leaders to advocate for open communication and bipartisan support to advance the legislation.

The U.S. Senate has moved closer to final approval of the GENIUS Act, which aims to regulate stablecoin issuers, passing a significant vote with bipartisan support. Concurrently, the House of Representatives is advancing the Digital Asset Market Clarity Act, establishing a framework for crypto market oversight. Both legislative efforts signify a major shift in U.S. crypto policy, addressing the need for regulation amidst growing market activity.