With the new pro-crypto administration in office, the industry is starting to see the long-awaited change of approach regarding regulations and measures to develop the sector. Following the announcement of the first crypto-related US Senate banking subcommittee, Senator Cynthia Lummis revealed the digital assets “dream team.”
A Bipartisan Digital Assets Subcommittee
On Monday, US Senator Cynthia Lummis announced the members of the recently formed Senate Baking Subcommittee of Digital Assets, equally composed of four lawmakers from the Democratic party and four from the Republican party.
Senator Lummis shared her excitement on X, calling the members “The digital asset dream team.” According to the post, the list includes Republican Senators Thom Tillis, Bill Hagerty, Dave McCormick, and Bernie Moreno; with Democratic Senators Ruben Gallego, Tina Smith, Mark Warner, and Chris Van Hollen also joining the subcommittee.
Last week, the US Senate Banking Committee, led by Senator Tim Scott, created the first-ever digital assets subcommittee, appointing pro-crypto Senator Lummis as the chairwoman.
The subcommittee will focus on passing bipartisan digital legislation “that promotes responsible innovation and protects consumers.” This includes market structure, stablecoins, and a Strategic Bitcoin Reserve (SBR).
Additionally, it will focus on conducting “robust oversight over Federal financial regulators to ensure those agencies are following the law” to prevent “Operation Chokepoint 2.0” from happening again.
After her appointment, Lummis stated she looked “forward to shepherding bipartisan legislation to President Trump’s desk this year that secures our financial future.”
Was The Pro-Crypto ‘A-Team’ Formed?
Despite some members expressing a pro-crypto stance, other subcommittee members have shared a less friendly view of the industry. Some community members expressed concern about these Senators, who criticized the industry over the years.
According to Super Political Action Committee (PAC) Stand With Crypto (SWC) rankings, Senators Smith, Warner, and Van Hollen are “strongly against” or “somewhat against” crypto.
Last year, the three Democratic Senators voted against overturning the Securities and Exchange Commission (SEC)’s Staff Accounting Bulletin 121 (SAB 121), previously deemed a regulatory overreach by the US watchdog.
For instance, in 2022, Smith joined Senators Elizabeth Warren and Richard Durbin in an open letter condemning Fidelity’s launch of a Bitcoin 401(k) retirement plan, calling BTC a “volatile, illiquid, and speculative asset.” Senators Smith and Van Hollen also co-sponsored Elizabeth Warren’s Digital Asset Anti-Money Laundering Act of 2023.
Nonetheless, it’s worth noting that five out of the eight subcommittee members “strongly support” or “somewhat support” the industry, according to the SWC ranking, and crypto PACs backed McCormick and Moreno during their campaigns.
The community received the subcommittee “Dream Team” news positively, some calling it “The A-team.” MicroStrategy’s founder, Michael Saylor, replied under the post, “The key to success is the right digital assets framework.”
The digital assets-dedicated subcommittee is expected to work towards a better, clearer, and more welcoming crypto regulation that balances innovation and oversight.
