US Senate Vote Could Reopen Government as Crypto Bill Remains in Limbo

• US government shutdown hits day 38, Senate set to vote on a temporary funding bill.
• Crypto market structure legislation, including the CLARITY and Responsible Financial Innovation Acts, is stalled.
• Lawmakers’ previous timeline for passing the crypto bill now uncertain amid shutdown and approaching holidays.

The US government entered its 38th day of shutdown on Friday, with the Senate scheduled to vote on a continuing resolution from the House of Representatives aimed at temporarily restoring funding. Despite repeated attempts over recent weeks, it remains uncertain whether the bill can achieve the 60 votes required for passage in the Senate. The ongoing impasse has left many legislative priorities, including cryptocurrency regulation, in limbo.

Amid the shutdown, discussions around a comprehensive digital asset market structure bill have continued behind the scenes. The legislation, which passed the House in July as the CLARITY Act and is referred to in the Senate as the Responsible Financial Innovation Act, is intended to establish a clear regulatory framework for the US crypto market. However, with government agencies furloughed or operating without pay, and legislative focus dominated by funding concerns, progress on the crypto bill has been limited.

While members of Congress continue to receive their paychecks during the shutdown, many staffers are not, further slowing momentum on new legislation. It remains unclear how much bipartisan support the bill may have gained, with Senate Democrats maintaining conditions related to healthcare subsidies and reversals of previous funding cuts. This dynamic has added another layer of uncertainty to the future of crypto regulation in the US.

Wyoming Senator Cynthia Lummis, a key proponent of the market structure bill, previously outlined an ambitious timeline for its passage. Republicans aimed to move the legislation through the Senate Banking Committee by the end of September, the Senate Agriculture Committee in October, and see it signed into law by 2026. While committee discussions reportedly continued, the shutdown and the approaching holiday season make adherence to this timeline increasingly unlikely.

Final Thought

The crypto market structure bill faces a precarious path forward as the US government shutdown stretches on. While bipartisan discussions continue, the legislation’s timeline has been disrupted, leaving the future of regulatory clarity for digital assets uncertain. Investors and industry participants will be watching closely as lawmakers balance the immediate need to reopen the government with longer-term policy priorities.