The Shutdown’s Impact on Crypto Legislation
The ongoing U.S. government shutdown is creating significant roadblocks for cryptocurrency legislation. We’re already looking at the second-longest shutdown in American history, and if it continues through Wednesday, it will break the 35-day record. This timing couldn’t be worse for crypto bills that were already struggling to gain momentum.
I think what’s happening here is that Congress has essentially put everything on hold. They’ve missed several of their own deadlines, including that tentative October 20th date for a markup hearing on market structure legislation. When you’re dealing with a government shutdown, everything else takes a backseat.
Timing Issues and Competing Priorities
Ron Hammond from Wintermute pointed out something important – as we get closer to year-end, Congress will have other priorities to handle. The National Defense Authorization Act, for example, is one of those must-pass military spending bills that will demand attention. Crypto legislation might get pushed aside when these bigger, more urgent matters come up.
But here’s the interesting part – there’s still some optimism in Washington. People are hoping that the crypto bills that stalled out over the summer might see some movement. The Senate Agriculture Committee’s draft market structure bill is something to watch closely. If that gets positive feedback, we could see movement around Thanksgiving.
The Political Complications
Of course, the shutdown itself creates complications. The longer it drags on, the less time Congress has to deal with anything else. There’s a rumor floating around that Democrats might give up on their healthcare premium demands soon because of the Trump Administration’s handling of SNAP benefits during the shutdown.
If that happens, we might see some progress. But here’s the catch – if Democrats feel forced to compromise on the shutdown, they might be less willing to make concessions on crypto market structure legislation. It’s like a political domino effect.
Looking Ahead
Next week brings another election cycle with state-level races in Virginia and New Jersey. These local elections might not seem directly related to crypto, but they can shift political dynamics and priorities at the state level, which sometimes influences federal approaches.
The reality is that time is running out for this legislative session. Every day the shutdown continues is another day lost for potential crypto legislation. It’s frustrating for everyone involved – lawmakers, industry participants, and regular people who want clearer rules for this space.
I’m keeping an eye on how things develop over the next week. If the shutdown does end soon, we might see a mad dash to get things done before the holidays. But if it drags on, well, we might be looking at starting over in the new year.
