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US Senate delays crypto market structure vote until after August recess
First Digital CEO Vincent Chok said the postponement leaves institutions without clear rules on market structure, custody, and oversight, potentially slowing adoption.
The US Senate will not vote before the August recess on crypto market structure legislation, after Democratic opposition prompted Democratic leaders to delay the measure, according to Cointelegraph. Thune’s office confirmed the timing shift, with the bill expected to return as a priority when senators come back in September.
First Digital founder and CEO Vincent Chok, whose company issues the FDUSD stablecoin, said the delay could benefit jurisdictions with clearer regulatory frameworks, citing Hong Kong and Singapore. He argued that prolonged legislative uncertainty makes institutional adoption harder because institutions lack clear guidance on market structure, custody, and oversight.
Chok added that regulatory progress outside the US would continue regardless of the CLARITY Act timetable. He said markets can adjust to slower timelines, but prolonged uncertainty is the harder challenge for participants.
1inch deputy general counsel Maylea Ma said that if Congress does not enact the legislation, the industry could face a return to “regulation by enforcement,” with market participants reliant on agency interpretations and case-by-case actions. She contrasted that approach with the European Union’s Markets in Crypto-Assets Regulation, which is already in force, and said 1inch would keep operating using its conservative, non-custodial and self-custody-focused model while awaiting clearer rules.