Catenaa, Tuesday, January 06, 2026- US legislation to create a framework for cryptocurrency markets may face delays, with passage now possible in 2027 and implementation stretching into 2029, according to TD Cowen.
The bill, following the GENIUS Act on stablecoins, aims to clarify oversight and asset classification rules for digital assets.
Political dynamics in Congress are a major hurdle. Democrats may act slowly if they anticipate regaining House control in the 2026 midterm elections.
Key points under debate include conflict-of-interest provisions that could bar senior officials and their families, including former President Donald Trump, from holding crypto-related interests. Proposed delays could push such restrictions past the next presidential term.
The House passed a version of the bill last year, but momentum has slowed in the Senate, where committees are expected to take up the issue later this year. Overcoming a Senate filibuster requires 60 votes, meaning Republicans would need support from several Democrats, giving Democrats leverage to delay enactment.
A later passage could allow Democratic regulators to influence rules if a Democrat wins the White House.
Industry officials warn that prolonged timelines frustrate the crypto sector, which prefers rules to take effect under Trump and is largely indifferent to conflict-of-interest provisions.
Analysts estimate a 50%–60% chance that a crypto market structure bill could become law in 2026, highlighting continued uncertainty around US digital asset regulation.
