Overview
- Senate Banking Chair Tim Scott is targeting a Jan. 15 committee vote and has signaled he may proceed without Democrats if negotiations fail, according to senators and his recent comments.
- Republican negotiators delivered a “closing offer” with more than 30 revisions and two new titles on investor protections and illicit finance, and senators met Tuesday as White House crypto lead David Sacks was seen leaving Scott’s office.
- Key disputes remain over ethics rules affecting senior officials including President Trump, oversight of DeFi, limits on stablecoin yield, token classification, and regulator quorum and authority.
- The banking industry is pressing for restrictions on yield-bearing stablecoins, echoing elements of last year’s GENIUS Act, while some crypto advocates caution that a rushed markup could jeopardize passage.
- With a Jan. 30 spending deadline compressing the calendar, TD Cowen projects final legislation may not pass before 2027 and could take until 2029 to implement, extending regulatory uncertainty for U.S. firms.