Senate Will End Up Passing House Version of Crypto Market Structure, Says Tom Emmer

Days after the House passed a sweeping crypto market structure bill, the Senate began the process this week of considering its own, parallel version of the legislation.

Republican senators have signaled a desire to get their market structure bill moving after lawmakers return from their August recess—but a top House Republican expressed confidence Thursday that, ultimately, the Senate will pass the House’s bill, dubbed the CLARITY Act.

“The House has years of work on this topic,” House Majority Whip Tom Emmer (R-MN) told Decrypt, referencing crypto market structure legislation. “When it comes to the CLARITY Act, [the Senate] hasn’t had the same time, even those very talented senators interested in this.”

Emmer said the White House has given lawmakers a deadline of September 30 for passing market structure legislation. Given such a tight turnaround, the GOP Whip contends that Congress’ upper chamber will, in short order, defer to the lower chamber’s framework for regulating most crypto tokens.

“They‘re starting to work through the process, and I believe that as they do that they‘re going to realize the amount of time and attention that‘s been spent on the CLARITY Act,” Emmer said of the Senate. “And I do believe they will bring it up, vote on it, and send it back.”

Emmer added the caveat that he would welcome senators making “adjustments or improvements” to the CLARITY Act—but maintained the House’s market structure bill should and will be the foundation of the Senate’s work on the subject.

The White House did not immediately respond to Decrypt’s request for comment regarding a potential September deadline for market structure legislation passing Congress.

Earlier this week, the Senate Banking Committee released an initial draft of its crypto market structure bill, which differs in certain respects from the House’s CLARITY Act. 

In announcing the draft bill, Senate Banking Chair Tim Scott (R-SC) acknowledged the House’s work on the subject.

“My colleagues and I in the House and Senate share the same goal: to provide clear rules of the road for digital assets that protect investors, foster innovation, and keep the future of digital finance anchored in America,” Scott said.

But the Senate may have different ideas about how to achieve that goal. Scott has maintained that his committee‘s market structure bill will go through regular order, and see a markup in September.

The House and Senate have dueled over crypto legislation before. Both chambers spent months crafting their own stablecoin bills earlier this year, with Republican leadership in each chamber wanting to put their own spin on the landmark framework. 

Ultimately, the Senate managed to pass its own stablecoin bill, the GENIUS Act, first. Under pressure from the White House, the House then acquiesced and passed the bill as the Senate wrote it, without making any changes.