Senate Targets September Rollout for Crypto Market Structure Bill

Senator Tim Scott (R-SC), the Committee’s ranking member, confirmed the timeline during a policy roundtable this week, stating that the U.S. must move beyond fragmented enforcement and toward clear, enforceable laws governing cryptocurrencies and digital assets. The announcement signals a coordinated legislative effort to accompany the recently passed stablecoin bill, the GENIUS Act, which cleared the Senate with bipartisan support earlier this month.

The GENIUS Act, formally known as the Guiding and Establishing National Innovation for U.S. Stablecoins Act, marked the first major crypto-related legislation to gain Senate approval. With a 68-30 vote, the bill aims to set a national standard for stablecoin issuance, reserve requirements, and oversight, ending a years-long legislative stalemate over how to regulate fiat-pegged digital currencies.

According to Scott, the next logical step is to define how all digital assets, from Bitcoin to tokenized securities, should be classified and regulated. “We’ve built momentum with the GENIUS Act,” said Scott during a June 26 panel alongside Senator Cynthia Lummis (R-WY) and White House crypto adviser Bo Hines. “Now, we need to finish the job and deliver a full framework for market structure.”

One of the core goals of the upcoming legislation is to end the long-standing jurisdictional battle between the SEC and the Commodity Futures Trading Commission (CFTC). The lack of clarity on whether digital tokens are securities or commodities has created regulatory uncertainty for startups, exchanges, and investors alike.

Draft principles released by Senators Scott, Lummis, Bill Hagerty (R-TN), and Thom Tillis (R-NC) earlier this month suggest that digital assets should be assessed based on functionality and use case. This approach, modeled in part on frameworks proposed by the House Financial Services Committee, would allow certain tokens to fall under CFTC oversight, while securities would remain under the SEC’s purview.

Senator Cynthia Lummis has emphasized that the draft principles for the upcoming legislation are centered on strengthening consumer protection, improving market efficiency, and reinforcing U.S. leadership in the digital asset space. She has warned that without clear regulatory definitions, the United States risks losing its competitive edge to jurisdictions that have already implemented comprehensive crypto frameworks.

The push for market structure reform comes as the digital asset industry seeks legislative clarity after years of enforcement-led policy. According to industry disclosures, crypto firms spent over $100 million on lobbying during the 2024 election cycle, a sign of the sector’s increasing political influence.

President Donald Trump has publicly supported crypto innovation, recently endorsing the GENIUS Act and urging the House to pass it quickly. However, the White House has not yet committed to a specific version of the upcoming market structure bill. Some Republicans, including Lummis, have signaled that while the September 30 deadline is ambitious, it remains achievable if the House and Senate can align on key components before the August recess.

Still, the House has yet to act on the GENIUS Act, and some Democrats remain skeptical of deregulation efforts. Senators like Elizabeth Warren (D-MA) have called for stronger investor protections and stricter anti-money laundering (AML) provisions in any new legislation.

Notably, there is division even within the crypto sector on legislative strategy. Some firms, particularly stablecoin issuers and fintech platforms, favor pushing the GENIUS Act through the House as a standalone victory. Others argue that both the stablecoin and market structure bills should be bundled to ensure cohesive regulatory treatment.

Major exchanges, including Coinbase and Kraken, have voiced support for the Senate’s effort but have called for more transparency around how the legislation will affect DeFi protocols, token launches, and staking services.

If the Senate Banking Committee succeeds in marking up and passing a market structure bill by September, it would represent the most substantial crypto legislation in U.S. history. However, hurdles remain: the House must pass its own version, reconcile differences in conference, and secure final approval from both chambers before President Trump can sign it into law.

All eyes are turning to September as lawmakers attempt to bring order to America’s fragmented crypto regulatory landscape.