Senate Fails to Pass Crypto Market Structure Bill Amid Ethics Concerns
The Senate failed to pass a landmark digital asset market structure bill on Tuesday, sending cryptocurrency stocks plummeting. The bill would have given the Commodity Futures Trading Commission primary authority over the industry.
Shares of Coinbase Global Inc. fell as much as 12%, while stablecoin issuer Circle Internet Group Inc. dropped 13%. Bitcoin's price dropped to below $75,000 after the vote, a decline of as much as 5.3%.
The bill had been a long time coming and was opposed by several senators, including Democrats Susan Collins of Maine and Josh Hawley of Missouri, who cited concerns over ethics provisions aimed at addressing President Donald Trump's crypto business interests.
Crypto-friendly regulators have noted they are ready to take action if the legislation fails to pass Congress. CFTC Chairman Michael Selig said last month the agency is weighing potential crypto rules, but is waiting to see what happens with the Clarity Act.