Latest news with #CynthiaLummis
Yahoo
3 days ago
- Business
- Yahoo
Senate passes landmark crypto legislation with bipartisan support
WASHINGTON – A landmark bill to regulate cryptocurrency passed the Senate on June 17, creating a path for digital assets to go mainstream and representing a big win for an industry that spent heavily to get President Donald Trump elected. The 68-30 vote reflects a major victory for the crypto industry, which has been aggressively lobbying Congress on the legislation. The bill next must be approved by the Republican-led House before Trump can sign it into law. Its passage also marks a turnaround from May, when Democrats who had supported the bill blocked it over concerns about Trump's connections to the industry. World Liberty Financial, a crypto venture linked to Trump that has already brought in more than $53 million, has launched USD1, a U.S. dollar-backed stablecoin. Trump also held a dinner late last month for the top purchasers of the $TRUMP meme coin, owned by an affiliate of The Trump Organization. More: Trump brought in $57 million from crypto venture, millions from sneakers and bibles The bill, dubbed the GENIUS Act, would create a framework to regulate stablecoins. Stablecoins are a type of cryptocurrency that are tied to the value of another asset, like the U.S. dollar. Comparatively, most cryptocurrency fluctuates based on market valuation, like Bitcoin and Ethereum. "Digital assets are a force for good," said Sen. Cynthia Lummis, R-Wyoming, who has been a vocal advocate for the bill. "This legislation is also about economic security and opportunity. ... It ensures American consumers and businesses can participate in the digital economy with confidence and security." The bill would create new guardrails for the industry, including requiring companies to hold a reserve of assets so stablecoin holders could always cash out, just like banks. It would also bar members of Congress or senior executive branch officials from "issuing a payment stablecoin product during their time in public service." A vocal contingent of Democrats have opposed the legislation, arguing it does not do enough to regulate the industry and would directly benefit Trump, whose family business is already profiting from cryptocurrency. "There is nothing in the GENIUS Act to stop this corruption. In fact, the Senate bill would accelerate the corruption," Sen. Elizabeth Warren, D-Massachusetts, said on the Senate floor on June 11. "It would make Trump the regulator of his own financial company and, importantly, the regulator of his competitors." Contributing: Medora Lee This article originally appeared on USA TODAY: Landmark crypto bill passes Senate with bipartisan support
Coin Geek
7 days ago
- Business
- Coin Geek
US digital asset tax policy on agenda during 'Crypto Week'
Getting your Trinity Audio player ready... The United States House of Representatives has arranged a so-called 'Crypto Week' next week, in an attempt to add a sense of urgency to the snail-like pace of progress on much-needed digital asset legislation. Chief amongst the topics up for debate will be digital asset taxation. House Ways and Means Committee chairman, Representative Jason Smith (R-MO), announced a July 16 oversight subcommittee hearing focusing on 'the affirmative steps needed to place a tax policy framework on digital assets.' Taxation has been an active talking point of late, particularly in light of President Donald Trump's 'big beautiful' tax bill, which was signed into law on July 4. Amongst a range of controversial measures, the bill adds restrictions to Medicaid, cuts clean energy spending, and reduces food benefits, in favor of tax cuts for national defense and immigration enforcement. With tax high on the agenda, it's perhaps no surprise that another pet project of the Trump administration, boosting the digital asset space, also saw some favourable tax legislation introduced recently. On July 3, the day before Trump signed his big beautiful bill into law, Senator Cynthia Lummis (R-WY) published a bill to amend the Internal Revenue Code of 1986 to reform the treatment of digital assets. Amongst the proposed changes were a 'de minimis exclusion' from taxation for digital asset gains or losses of $300 or less, with a $5,000 yearly total cap; a proposal aimed at ending the controversial 'double taxation' of digital asset miners; and various changes to further align the taxation of digital assets with the treatment of other asset classes such as securities and commodities. The Wyoming Republican claimed the bill would 'generate approximately $600 million in net revenue during the 2025-2034 budget window.' Lummis' bill is currently just starting its long journey through committee stage in the Senate, but as the most detailed and specific piece of digital currency tax legislation currently proposed in either chamber of Congress, it will likely come up in next Wednesday's House of Representative's 'Crypto Week' hearing focused on tax. Whether the discussion revolves around the merits of Lummis' proposals or a potential sister bill that could be launched in the House remains to be seen, but the Republican-led committee has made it clear it is aiming for 'digital asset policy built for the 21st Century' that makes America 'the crypto capital of the world.' In terms of other legislation that will certainly be under discussion next week, chairman of the House Committee on Financial Services, Representative French Hill (R-AR), said that the House will be considering the CLARITY Act, the Anti-CBDC Surveillance State Act, and the Senate's GENIUS Act; the latter having emerged as the most realistic chance for stablecoin legislation to pass this year. Watch: How do you build a successful ecosystem? Bring blockchain to the builders! title="YouTube video player" frameborder="0" allow="accelerometer; autoplay; clipboard-write; encrypted-media; gyroscope; picture-in-picture; web-share" referrerpolicy="strict-origin-when-cross-origin" allowfullscreen>
The Hill
7 days ago
- Business
- The Hill
Bitcoin hits record high as Capitol Hill turns to ‘crypto week'
Bitcoin hit another record high Monday, surging above $120,000 as the House prepares to take up a raft of crypto legislation this week. The price of one bitcoin jumped above $122,000 on Monday morning, before falling to around $119,700 by midday. The token has repeatedly set new records over the past week ahead of the House's so-called 'crypto week.' The lower chamber is set to take up three crypto bills — the GENIUS Act, the Digital Asset Market Clarity Act and the Anti-CBDC Surveillance State Act. The GENIUS Act, which aims to create a regulatory framework for one type of crypto known as stablecoins, passed the Senate last month and would next head to President Trump's desk if it clears the House. Trump has leaned on House lawmakers to pass a 'clean' stablecoin bill, dashing hopes of formally tying the GENIUS Act to the Digital Asset Market Clarity Act, also referred to as the CLARITY Act. The CLARITY Act seeks to regulate the broader crypto market, divvying up oversight between the Securities and Exchange Commission and the Commodity Futures Trading Commission. While the House no longer plans to tie the two bills together, it appears poised to move them side by side, in an effort to put pressure on the Senate to kick into gear on market structure legislation. The upper chamber has yet to introduce its own version of the CLARITY Act, although it does appear to be ramping up its efforts. The Senate Banking Committee held hearings on the digital asset market in late June and early July, while the Senate Agriculture Committee is set to hold a hearing this week. Sen. Cynthia Lummis (R-Wyo.), chair of the Senate Banking digital asset subcommittee, told The Hill last Wednesday she believes senators will release a discussion draft of market structure legislation this week. Alongside White House crypto advisor Bo Hines, she and Senate Banking Chair Tim Scott (R-S.C.) said late last month that they're now aiming to pass the crypto bill by the end of September.
Coin Geek
11-07-2025
- Business
- Coin Geek
Congress ‘crypto week' adds new event; Trump adds new token
Getting your Trinity Audio player ready... Congress keeps adding more events to 'Crypto Week,' while President Trump's family keeps adding more crypto money-making opportunities. On July 16, the House of Representatives Committee on Ways & Means' Oversight subcommittee will hold a hearing titled 'Making America the Crypto Capital of the World: Ensuring Digital Asset Policy Built for the 21st Century.' According to Committee Chair Jason Smith (R-MO), the hearing will focus on 'the affirmative steps needed to place a tax policy framework on digital assets.' The hearing will be part of a crypto-focused period the House has dubbed 'crypto week' that will see floor votes on market structure legislation (the House's CLARITY Act), stablecoins (the Senate's GENIUS Act) and Tom Emmer's revived anti-central bank digital currency (CBDC) legislation. The House has yet to put forward any tax-specific crypto proposals, but Sen. Cynthia Lummis (R-WY) recently introduced a bill that addresses multiple angles of crypto taxation. While the House has its own stablecoin bill (STABLE Act), they appear ready to vote on GENIUS as is, so it's possible that they could adopt Lummis's tax plan, assuming she can first muscle it through her own chamber. While the Senate is now rumored to be dropping a market structure discussion draft sometime next week, the chamber could also take up CLARITY without too much revisions. The Senate has yet to introduce a market structure bill of its own, merely a set of 'principles,' which rendered Wednesday's Senate Banking Committee hearing on market structure regulation a rather inconsequential affair. The possibility of the Senate leaning on CLARITY to get market structure done in a timely fashion got a boost on Wednesday from Committee member John Kennedy (R-LA), who told Semafor that '[i]n terms of the Senate starting from scratch drafting a market structure bill, it makes no sense to me.' Amidst all this regulatory revamping, state securities regulators are asking Senate leaders not to exclude them from playing a role in crypto oversight. On July 7, the North American Securities Administrators Association (NASAA) sent a letter to Senators Tim Scott (R-SC) and Elizabeth Warren (D-MA), the chair and ranking member, respectively, of the Senate Banking Committee. The letter asks that, as the Senate ponders market structure legislation, that it 'preserve the critical role that state securities regulators play in our capital markets as fighters of fraud, market manipulation, and similar abuses.' Failing to do so 'would have net-negative, significant consequences for Americans.' The problem the NASAA faces is that the market structure plan Congress is advancing doesn't foresee a major role for the federal Securities and Exchange Commission (SEC), instead leaving the bulk of crypto oversight to the Commodity Futures Trading Commission (CFTC), despite the latter agency being rather depleted at present. So NASAA president Leslie Van Buskirk may well feel that she has 'no reason to believe our federal partners would come close to making up the difference if my state colleagues and I were denied the opportunity to pursue and address fraud.' It just might not matter much, unfortunately. Trump Media offers non-woke token (woken?) Democrats have attempted to amend every crypto bill with language that would restrict the ability of President Trump and his family to profit off crypto ventures. But these efforts have all failed to date, and the Trump crypto empire just keeps growing. On July 9, Trump Media & Technology Group (TMTG) announced that it had begun 'public BETA testing the new Truth+ subscription TV streaming plan, the Patriot Package.' Said package is a curated mix of 'premium, non-woke news channels' and other goodies, but for our purposes we'll focus on the news that subscribers 'will accumulate [activity-linked] gems on their Truth Social accounts. These will eventually be tied to a utility token on both Truth Social and Truth+.' TMTG revealed in April that it was 'exploring the introduction of a utility token,' no doubt encouraged by the enthusiastic (and lucrative) reception given to the president's $TRUMP memecoin and also to WLFI, the governance token of Trump's decentralized finance (DeFi) platform World Liberty Financial (WLF). While TMTG has applied for three different crypto-focused exchange-traded funds (ETFs) and raised $2.4 billion to start its BTC-based 'treasury,' the company's flagship product (the Truth Social platform) remains a ghost town. The New York Times reported this week that 80% of Truth Social traffic is people viewing the president's posts, and the company has struggled to sell advertising, resulting in a net loss of $31 million in the first quarter of 2025. Truth Social has yet to turn a profit since it went public and its shares are down nearly 45% since the year began. Back to the top ↑ Unknown unknowns buying Trump tokens Wednesday's news that Justin Sun, founder of the TRON network, planned to buy $100 million worth of $TRUMP wasn't all that surprising, given Sun's other gestures of fealty towards Trump's crypto ventures. Sun previously purchased $20 million worth of $TRUMP and $75 million worth of WLFI, the latter purchase earning Sun a role as WLF advisor. Speaking to Coindesk, Sun called $TRUMP 'a very important memecoin and a globally-recognized [intellectual property].' TRON recently announced that it was preparing to launch $TRUMP, which was previously available only on the Solana chain. Sun called $TRUMP 'the currency of [Trump's Make America Great Again movement]' and claimed TRON 'will make TRUMP token very popular in Asia and in the rest of the world.' Late last month, WLF announced that it had sold $100 million worth of WLFI to the Aqua1 Foundation, a 'Web3-native fund' based in the United Arab Emirates. WLF said the two entities shared a goal to 'help accelerate the creation of a blockchain-powered financial ecosystem centered on blockchain development, Real World Asset (RWA) tokenization, and stablecoin integration.' (The stablecoin in question is likely WLF's USD1, which launched this spring.) But crypto critic Jacob Silverman just published a report in The Nation detailing his inability to determine who or what comprises Aqua1. Silverman claimed there is 'very little evidence that Aqua 1 Foundation exists at all,' including no corporate registration or other official filings in UAE public records. Silverman had a similar lack of luck pinning down Aqua1's purported co-founder Dave Lee, who appears to share Aqua1's lack of official documentation. Nor did anyone from WLF respond to Silverman's queries. In June, prior to the $100 million WLFI purchase announcement, WLF's official crypto wallet sent $800 million worth of the token to a digital wallet labeled That wallet then sent $80 million worth of USDT (Tether) back to WLF. The USDT came from an unknown wallet on Bybit, a UAE-based exchange that just announced support for USD1. Silverman acknowledged that Aqua1 may indeed be a legit UAE company, although he also notes that '[s]omeone can spin up a website and press release and send $80 million worth of crypto to the US president's associates without leaving the couch.' The WLFI token is currently used only to vote on WLF governance proposals, but a new proposal was launched this week on whether to lift restrictions on trading WLFI on the open crypto market. On July 9, WLF tweeted that '[a]fter receiving overwhelming support on the forum, it's clear, the community is ready' to unfetter WLFI. Back to the top ↑ Treasury offshoots ditching rules, adding leaders In other U.S. news, the Internal Revenue Service (IRS) formally expunged the so-called 'DeFi broker' rule from the U.S. tax code on Thursday. The deeply unpopular rule required non-custodial platforms to collect and submit the same level of customer information as traditional brokers. Following last November's elections, both chambers of Congress moved swiftly to finalize and approve resolutions that would expunge the DeFi language from the IRS playbook. President Trump signed the legislation into law in April, making Thursday's announcement something of a formality, but welcome nonetheless. The IRS is an offshoot of the Treasury Department, as is the Office of the Comptroller of the Currency (OCC), which formally welcomed their new leader on Thursday. Jonathan Gould, a former chief legal officer at blockchain infrastructure firm Bitfury who once served as OCC deputy counsel, was nominated as the next OCC chief in February and approved by the Senate on Thursday. Oddly enough, pro-crypto Sen. Cynthia Lummis (R-WY) initially signalled she was opposed to confirming Gould. Lummis reportedly wanted to have 'further conversations' with Gould regarding his positions on stablecoins 'and Federal pre-emption of state banking laws.' Whatever her concerns, Lummis eventually voted to approve Gould. Back to the top ↑ Stablecoins, T-bills, and an uncertain future The total value of all U.S. Treasury bills held by stablecoin issuers reportedly topped $182 billion this week, which, if the sector was a country, would slot it between Saudi Arabia and Norway. We say 'reportedly' because some stablecoin issuers have never allowed respected third parties to verify that the T-bills they claim to hold as their reserve assets actually exist. One of the major drivers of stablecoin legislation in the U.S. is the mantra that their wider adoption in markets outside America will help preserve the dollar's role as the world's reserve currency. Stablecoins are also expected to shore up America's dodgy finances due to requirements for U.S.-approved issuers to hold their reserves in a narrow range of fiat assets, primarily T-bills. Treasury Secretary Scott Bessent has suggested issuers would ultimately need to buy $2 trillion worth of T-bills by 2028 and $3.7 trillion by 2030. Less partisan opinions put this range as low as half a trillion. The reality is nobody really knows, but one thing is sure: issuers won't be buying long-term T-bills (the kind America prefers to sell) due to issuers' need to be able to meet a large volume of redemptions without delay, just in case. Most issuers opt for T-bills with maturity dates of 90 days or under. That may be why Treasury announced this week that it was increasing its issuance of T-bills, with a focus on four-, six-, and eight-week bills, for a total new issuance of ~$190 billion. The government likes them because they pay lower rates of interest than the five- and 10-year variety, but it also exposes the government to the possibility of pricier financing costs should interest rates suddenly lurch upward. Treasury's focus on short-term T-bills is also a reflection of the rest of the world's growing unease with the state of America's finances, specifically, its ability to pay its debts a year from now, let alone five or ten years. Should that worst-case scenario manifest itself, stablecoins' ability to do anything to save America will be a drop in the ocean. C'mon in, the water's, uh, warm? Back to the top ↑ Watch: Teranode is the digital backbone of Bitcoin title="YouTube video player" frameborder="0" allow="accelerometer; autoplay; clipboard-write; encrypted-media; gyroscope; picture-in-picture; web-share" referrerpolicy="strict-origin-when-cross-origin" allowfullscreen="">
Yahoo
09-07-2025
- Business
- Yahoo
Senator Says America's $3 Trillion Crypto Market Needs Rules 'Yesterday'—Here's Why Investors Should Care
Benzinga and Yahoo Finance LLC may earn commission or revenue on some items through the links below. The U.S. is sitting on the sidelines while other nations sprint ahead in cryptocurrency regulation, and that hesitation is costing American investors and companies millions of dollars, said Sen. Cynthia Lummis (R-WY). In a CNBC interview last month, Lummis painted a stark picture of an industry burning through legal fees while competitors in Europe and Singapore operate under clear regulatory frameworks. For crypto investors watching their portfolios swing wildly on regulatory uncertainty, Lummis's words carry weight: the U.S. needs comprehensive market structure legislation, and it needed it 'yesterday.' Don't Miss: Warren Buffett once said, "If you don't find a way to make money while you sleep, you will work until you die." Here's , starting today. Named a TIME Best Invention and Backed by 5,000+ Users, Kara's Air-to-Water Pod Cuts Plastic and Costs — Here's the reality facing crypto companies today: instead of operating under clear rules, they're being regulated through costly Securities and Exchange Commission enforcement actions. Lummis said this approach forces companies into 'judicial proceedings' that rack up 'hundreds of millions of dollars in lawyers fees'—money that could otherwise fuel innovation and growth. This isn't just a corporate problem. When crypto companies spend massive resources on legal battles instead of product development, it ultimately impacts: Innovation speed: Resources diverted from R&D to legal defense Market competitiveness: U.S. companies at a disadvantage vs. international peers Investment flows: Capital potentially moving to clearer regulatory jurisdictions Consumer access: Fewer services and products reaching American investors Lummis didn't mince words about America's competitive position, noting it's 'rare for the U.S. to default and sit back and not lead' in a growing industry. While the U.S. debates, competitors are acting: Europe: The Markets in Crypto-Assets regulation provides comprehensive frameworks for crypto operations across EU member states. Singapore: Clear licensing requirements and operational guidelines have made it a preferred destination for crypto firms. Other jurisdictions: Countries from the UK to Japan are implementing structured approaches that provide regulatory certainty. The risk? That crypto innovation—and the economic benefits that come with it—simply moves elsewhere. Trending: Invest early in CancerVax's breakthrough tech aiming to disrupt a $231B market. . Lummis outlined a nuanced approach to classification that could end years of regulatory confusion: Digital assets as commodities: Most cryptocurrencies would fall under the Commodity Futures Trading Commission, which generally takes a more business-friendly approach to oversight. Securities treatment: When digital assets are 'bundled and sold by securities,' they'd remain under SEC jurisdiction, maintaining important investor protections. This dual approach recognizes that different crypto products need different levels of oversight. A simple Bitcoin transaction shouldn't face the same regulatory burden as a complex investment product promising guaranteed returns. The legislative landscape shows encouraging bipartisan momentum: House advantages: Market structure legislation already developed Stablecoin regulations drafted Commodities legislation from Agriculture Committee Senate progress: Passed the 'Genius Act' focused on stablecoins Working on broader framework principles White House enthusiasm for stablecoin legislation Lummis expressed optimism about collaboration between chambers, suggesting investors might see concrete regulatory progress sooner than crypto investors, regulatory clarity typically reduces volatility and increases institutional adoption. Consider these potential impacts: Short-term: Clear rules could reduce the regulatory premium currently built into crypto prices—potentially leading to more stable valuations based on fundamental adoption rather than regulatory fears. Medium-term: Institutional investors sitting on the sidelines due to regulatory uncertainty might finally enter the market with established frameworks in place. Long-term: A clear U.S. regulatory framework could cement the U.S.'s position as a global crypto hub, potentially driving sustained demand for dollar-denominated crypto services. Lummis's testimony reveals an industry at an inflection point. The crypto sector is actively seeking regulation—unusual for any financial industry—because clear rules enable growth and innovation. For investors, this regulatory push represents both opportunity and timeline pressure. Companies operating in clear regulatory environments typically command valuation premiums over those facing uncertain legal landscapes. The message from Washington appears clear: comprehensive crypto regulation isn't a matter of if, but when. And according to those closest to the legislative process, 'when' might be sooner than the market expects. Read Next: The secret weapon in billionaire investor portfolios that you almost certainly don't own yet. Image: Shutterstock This article Senator Says America's $3 Trillion Crypto Market Needs Rules 'Yesterday'—Here's Why Investors Should Care originally appeared on Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
