U.S. Crypto Legislation Set to Take Center Stage in 2025 as Congress Eyes Key Bills

In 2025, with a pro-crypto administration taking shape, U.S. Congress is set to focus on cryptocurrency legislation, especially stablecoins and the FIT21 Act.

Rep. French Hill, expected to lead the House Financial Services Committee, is pushing for clear rules regarding digital assets. If key bills like FIT21 and stablecoin regulation don’t pass during the current term, Hill is determined to make them a priority in the next Congress.

The FIT21 Act, designed to establish a clearer regulatory framework for digital assets, is aimed at distinguishing between securities and commodities. While it has passed the House and is gaining bipartisan interest, its future in the Senate remains uncertain, particularly with the SEC’s leadership expected to shift under Paul Atkins, who is seen as more crypto-friendly. This could impact the trajectory of the bill.

Stablecoin regulation is also high on the agenda, with discussions centered around ensuring issuer accountability and consumer protection. Bills such as the Clarity for Payment Stablecoins Act could either pass as standalone legislation or be incorporated into broader financial reforms. The Digital Asset Market Infrastructure Bill, which focuses on issues like custody and integrating digital assets into traditional finance systems, may also see movement early in the year.

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In addition to these regulatory steps, there is a growing interest in creating a strategic Bitcoin reserve, with figures like Senator Cynthia Lummis pushing for the U.S. Treasury to buy one million bitcoins over the next five years. However, such proposals face hurdles, including lack of bipartisan support. The regulatory landscape will also be influenced by shifts in leadership, such as Senator Elizabeth Warren’s new role in the Senate Banking Committee, which could alter the approach to crypto legislation.

Given the competitive nature of the 2025 legislative agenda, including significant tax and border issues, crypto bills will face intense scrutiny and negotiation. However, the pro-crypto sentiment within Congress and the potential backing of the new administration suggest that, despite these challenges, cryptocurrency legislation could see substantial progress in 2025. The outcome will depend on the interplay between political strategies, regulatory feedback, and public support for the crypto space.

Alexander Zdravkov