- Coinbase CEO Brian Armstrong urges Congress to pass stablecoin and market structure bills before August to ensure regulatory clarity.
- Despite some Senate pushback, the bills are gaining momentum, with the crypto industry hopeful for progress by 2025.
Coinbase CEO Brian Armstrong is pushing for swift action in Congress to pass critical stablecoin and market structure bills, hoping to see both become law before the August deadline. In a recent public statement, Armstrong emphasized the importance of advancing these legislative efforts amid the momentum generated by the FIT21 Act.
The Financial Innovation and Technology for the 21st Century Act, known as FIT21, has been central to the debate surrounding cryptocurrency regulations. FIT21, which aims to clarify whether the SEC or the CFTC holds jurisdiction over digital assets, was initially rejected under the Biden administration in May 2024. However, the bill gained renewed traction with the release of a discussion draft for a market structure bill, considered a direct successor to FIT21. This new draft builds on the discussions ignited by FIT21, offering a potential framework for defining clear boundaries for the cryptocurrency market.
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Armstrong applauded the efforts in the House to advance this legislation, urging both chambers of Congress to act swiftly to ensure the bills are passed into law before August. “We also welcome House efforts to build on FIT21’s momentum,” Armstrong said. “Both chambers need to act now if we hope to pass comprehensive legislation into law before August.”
The stablecoin market, which currently boasts a value exceeding $240 billion, has been a focal point of the legislative push. While the Senate is deliberating the GENIUS Act, a bill intended to bring clarity to the stablecoin sector, it faces challenges. The bill requires at least 60 votes to move forward and has recently encountered pushback from Senate Democrats, citing concerns over anti-money laundering and national security safeguards.
Despite these hurdles, the crypto industry is optimistic that progress will be made, with experts like Dennis Porter and Senator Tim Scott predicting that crypto market regulations will be formalized by August 2025. Meanwhile, the White House is overseeing the development of two key stablecoin bills—the STABLE Act and the GENIUS Act—both of which continue to make strides toward formal legislation.
For Coinbase, the outcome of these bills is crucial. As a company with a strong focus on compliance, Coinbase stands to benefit significantly from clearer stablecoin regulations, helping to shape a more stable and secure digital asset market moving forward.
