Sen. Tim Scott urges crypto framework in Congress

Several U.S. policymakers have called for clear digital asset regulations as the nation enters a pro-crypto regulatory era under President-elect Donald Trump.

Despite growing global adoption and significant advancements in the past 16 years, blockchain technology and cryptocurrencies have faced harsh regulatory opposition from U.S. agencies

The Securities and Exchange Commission has been particularly critical, with the industry accusing the regulator of fostering an “anti-crypto” stance. Notably, Coinbase sued the SEC for clarity, challenging the agency’s “come-in-and-register” rhetoric.

In a newly released priority list, Senator Tim Scott from South Carolina stressed the need for Congress to establish a well-defined framework for digital asset oversight.

Senator Scott’s document, addressed to the 119th U.S. Congress, criticized the SEC and its outgoing chair, Gary Gensler, for driving blockchain innovation offshore through unclear regulations and a restrictive approach.

Under chair Gensler, the SEC refused to provide clarity to the cryptocurrency industry, which has forced projects overseas. Moving forward, the committee will work to build a regulatory framework that establishes a tailored pathway for the trading and custody of digital assets that will promote consumer choice, education, and protection and ensure compliance with any appropriate Bank Secrecy Act requirements

Senator Tim Scott

Pro-crypto policymakers fill key positions

Senator Scott, who chairs the U.S. Senate Banking Committee, is now in a key position to shape financial policy, including cryptocurrency regulations. The committee has established its first crypto-focused subcommittee, which will be chaired by pro-Bitcoin Senator Cynthia Lummis.

Ahead of his inauguration, Trump appeared to support crypto-friendly Republican lawmakers assuming leadership roles in critical Congressional committees. This move aligns with Trump’s plans to implement more flexible digital asset regulations.

Representative Bryan Steil will chair the House Financial Committee’s Subcommittee on Digital Assets, Financial Technology, and Artificial Intelligence. Tom Emmer, the GOP House Majority Whip and staunch Gensler critic, will assist Steil as vice chair.