Crypto Market Structure Bill Faces Test Over Political Conflicts
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Regulations A push is growing in the US Senate to add stricter ethics safeguards to a major crypto market structure bill, with Democratic lawmakers warning that the legislation will stall unless clear conflict-of-interest rules are included. The debate centers on the Responsible Financial Innovation Act (RFIA), a Republican-backed proposal that would reshape how digital assets are regulated in the United States. While the bill is designed to clarify oversight responsibilities across federal agencies, some Democrats argue it leaves too much room for public officials to benefit financially from ties to the crypto industry. Key takeaways: Senate Democrats are demanding conflict-of-interest restrictions in a crypto market structure bill Lawmakers want to bar public officials from profiting from crypto-related ties The bill could expand regulatory authority for digital assets Without ethics safeguards, Democrats warn the legislation may fail to pass Ethics Concerns Take Center Stage According to reporting from Punchbowl News, Democratic Senators Adam Schiff and Ruben Gallego have drawn a firm line around ethics provisions. They are pushing for language that would explicitly prevent elected officials — including the US president — from profiting directly or indirectly from crypto companies affected by the legislation. Gallego described the issue as non-negotiable, signaling that Democratic support hinges on whether these safeguards are included in the final text. A Bill Delayed by Politics and Timing The RFIA has been under Senate consideration since July, after passing the House of Representatives under the name CLARITY Act. Progress has been uneven. Lawmakers have debated topics ranging from decentralized finance to regulatory jurisdiction, while a 43-day government shutdown late last year further slowed momentum. Draft versions released by the Senate Banking and Senate Agriculture committees suggest the bill would grant expanded authority to the Commodity Futures Trading Commission, potentially making it the primary overseer of large segments…
Filed under: News - @ January 9, 2026 9:25 pm