While presidential hopefuls Donald Trump and Kamala Harris have been wooing cryptocurrency supporters with their campaign promises, a leading investment bank is predicting a slowdown in the advancement of cryptocurrency legislation.
In a recent note, TD Cowen stated that definitive legislation is unlikely to progress before the end of 2024. This prediction comes as lawmakers are on a break until after the election, leaving a limited window for passing bills during the post-election “lame-duck” session.
Jaret Seiberg, a member of TD Cowen’s Washington Research Group, expressed doubts about substantial progress during this session, citing the tight timeframe and the need to prioritize other crucial legislation, such as the National Defense Authorization Act (NDAA).
However, Seiberg did suggest that a stablecoin bill, which has been under development since 2022 by House Financial Services Committee Chair Patrick McHenry (R-N.C.) and top Democrat Rep. Maxine Waters (D-Calif.), could potentially pass under ideal circumstances.
Earlier in August, Senate Majority Leader Chuck Schumer (D) underscored the importance of “sensible and long-lasting” regulations for the cryptocurrency industry. He pledged to get “something passed out of the Senate and into law” by year’s end.
Earlier this year, the FIT21 legislation passed the House with bipartisan support, marking a significant step toward establishing a clear regulatory framework for digital assets in the US. However, the bill has since stalled in the Senate.
Regarding the stablecoin bill, Waters recently emphasized the need to reach a “grand bargain” before the end of the year.
The anticipation surrounding cryptocurrency legislation intensifies as both Trump and Harris have indicated favorable stances toward the industry on the campaign trail. However, the realities of legislative hurdles and political priorities may cast a shadow over these optimistic pronouncements.
At the time of writing, Bitcoin was trading at $63,275.79, down 1.52% over the past 24 hours.
