Senate Republicans push forward with a crypto bill vote as Democratic support remains unclear

Senate Pushes Forward on Crypto Regulation Amid Frustrations

Democratic senators remain engaged in negotiations over long-awaited U.S. cryptocurrency regulations, though signs of impatience are growing as a new version of the bill is being rapidly drafted ahead of the weekend.

The Senate Banking Committee has promised the crypto sector that a markup session will take place next week, which means an official announcement must be made by Friday evening. Meanwhile, the Senate Agriculture Committee—also involved in crafting the legislation—has been working to align its schedule for a committee vote, though it’s unclear if the lead Democratic negotiator is prepared to proceed.

Senator Tim Scott, who chairs the Banking Committee, has indicated he intends to move forward with a markup hearing on January 15, regardless of whether all parties are ready. This session will allow lawmakers to propose changes before deciding if the bill should advance to the full Senate. To meet this timeline, staff are working quickly to finalize the bill’s text.

On Friday, Senator Cynthia Lummis, the top Republican negotiator, shared a photo of what appears to be the initial page of the draft Responsible Financial Innovation Act. Her post, noting she had reading to do, suggests the draft is nearing completion.

According to sources familiar with the discussions, Senator Cory Booker—a New Jersey Democrat leading his party’s efforts in the Agriculture Committee alongside Republican Chairman John Boozman—could potentially delay the committee’s plans for a vote next week. When asked about the timing, a Booker aide directed inquiries to Boozman’s office.

A committee spokesperson told CoinDesk, “Chairman Boozman remains committed to advancing a bipartisan bill and good-faith discussions are continuing.”

Key Issues Remain Unresolved

For the legislation to ultimately reach President Donald Trump’s desk for signature, supporters must secure the backing of at least seven Democratic senators. Despite months of negotiations, some of the Democrats’ main concerns remain unaddressed—particularly a provision to prevent senior government officials, including Trump, who has significant crypto interests, from profiting from the industry.

Senator Ruben Gallego, a leading Democratic negotiator, told Punchbowl that this requirement is non-negotiable for his support. “They need to get it right, or they’re not going to have enough votes to pass this thing,” Gallego reportedly said.

Bipartisan Efforts and Industry Response

Despite ongoing tensions, the sustained bipartisan effort to draft crypto legislation is notable and reflects broad congressional interest in addressing digital asset regulation. Many in the crypto community are encouraged by the commitment shown by Democrats, even as some within their party remain hesitant.

“People should recognize the significant time and energy Democrats have invested in this process,” said Talia Davis, vice president for government relations at the DeFi Education Fund, in an interview with CoinDesk.

If both the Banking and Agriculture Committees approve related bills on crypto market structure, the measures would be merged for a full Senate vote. The combined bill is expected to pass the House of Representatives with little difficulty and become law. However, Democratic support in the Senate is still uncertain.

Industry and Lobbyist Tensions

Beyond the negotiations between lawmakers, the crypto industry continues to clash with traditional finance lobbyists, who have opposed provisions related to stablecoin yields and decentralized finance (DeFi) protections. The forthcoming draft from the Banking Committee could address many outstanding questions, but may also disappoint some stakeholders whose support is crucial for final passage.