Chuck Schumer on Crypto Regulation

U.S. Senate Majority Leader Chuck Schumer has announced plans to pass legislation to regulate cryptocurrency by the end of the year.

During a Crypto4Harris town hall, the New York Democrat emphasized the need for “common sense and sound regulation,” stating, “My goal is to get something passed out of the Senate and into law by the end of the year, and I believe we can make that happen.” He highlighted the importance of balancing innovation in crypto with necessary safeguards.

In Washington, lawmakers are currently drafting several bills, but none have made it to President Joe Biden’s desk yet. Notable efforts include a bill from Senators Cynthia Lummis (R-Wyo.) and Kirsten Gillibrand (D-N.Y.) aimed at regulating algorithmic stablecoins, as well as initiatives from Senate Agriculture Committee Chair Debbie Stabenow (D-Mich.) to further regulate the crypto space.

On the House side, a Republican-led crypto market structure bill passed in May, granting jurisdiction over “digital commodities” to the Commodity Futures Trading Commission while defining the Securities and Exchange Commission’s role regarding digital asset investment contracts. This bill garnered support from 71 Democrats, including former Speaker of the House Nancy Pelosi.

Schumer noted that legislation must prevent manipulation while fostering innovation, stating, “We can’t afford to continue to sit on the sidelines.” He critiqued Congress members who prefer sensationalism over productive legislation, affirming that achieving a regulatory framework for crypto this year is feasible, even amid political divide.

“Crypto is here to stay no matter what, so Congress must get it right,” he asserted.

Crypto4Harris Initiative

Crypto4Harris is described as a grassroots network of crypto advocates supporting the Harris For President campaign. The initiative aims to organize and fundraise while developing a comprehensive crypto policy. Reports indicate that candidate Harris is also reaching out to understand the crypto landscape better, though she has not publicly disclosed her stance on the issue yet.

As the election season heats up, the crypto industry has become increasingly influential, with substantial financial contributions to political action committees. Former President Donald Trump has promised to end what he calls an “unlawful and un-American crackdown” on the crypto sector, aligning himself with the industry by choosing crypto-friendly J.D. Vance as his running mate and supporting bitcoin miners.