Crypto Regulation Shifts from Congress to Federal Agencies
- The Senate failed to advance the Clarity Act with a vote of 49-50, falling short of the required 60 votes.
- Within two days, the SEC introduced an “innovation exemption” allowing tokenized U.S. stocks trading without registration as national securities exchanges.
- The CFTC issued no-action relief for passive software providers and sent a crypto-markets rulemaking to the White House.
- The Federal Reserve proposed stablecoin reserve and capital rules under the GENIUS Act, signed by President Donald Trump in May.
- Industry figures view regulatory agency rulemaking as a more viable path than waiting for congressional action.
Following the Senate’s failure to pass the Clarity Act, federal agencies have taken charge of crypto regulation, introducing new rules within days to fill the legislative gap. This shift indicates a move towards agency-driven rulemaking as opposed to legislative solutions from Congress.
With agencies like the SEC and CFTC taking proactive steps, industry leaders see this regulatory approach as necessary despite its slower pace and potential reversibility compared to congressional laws (Source)
