Digital Chamber's Cody Carbone Outlines Senate Path and Ethics Sticking Points for US Crypto Legislation
Speaking at the Rare Evo conference, Digital Chamber executive Cody Carbone warned that a 616-page U.S. crypto market structure bill faces a critical deadline before the August Senate recess. Securing the necessary 60 votes hinges heavily on resolving ethics negotiations between lawmakers and the White House.
Speaking from the Rare Evo conference in Las Vegas, Digital Chamber leader Cody Carbone detailed the urgent legislative timeline facing a 616-page U.S. crypto market structure bill ahead of the August Senate recess. Carbone emphasized that procedural steps—including a motion to proceed, amendment votes, and a 60-vote cloture hurdle—must begin before lawmakers break for recess. Establishing procedural progress now is essential so the Senate and House can hold final passage votes during a brief three-week session in September prior to midterm elections. Carbone warned that failing to initiate votes before the recess could derail market structure legislation for years, potentially delaying federal regulation until 2029.
To clear the 60-vote threshold in the Senate—which currently comprises 53 Republicans and 47 Democrats—proponents need unanimous support from roughly 50 Republicans along with at least 10 Democratic votes. Advocates are focusing outreach on a group of 18 Democrats who previously supported the Genius Act. However, progress has largely centered on negotiations surrounding ethics provisions designed to restrict federal officials, including the president, from profiting off digital assets or memecoins.
Carbone identified ethics language as the central hurdle in negotiations. Democrats are advocating for stricter measures, including potential divestment requirements, multi-term applicability, and enforcement powers for state attorneys general rather than relying solely on the federal Attorney General. Despite prediction markets pricing the likelihood of passage by 2026 at roughly 30 percent, Carbone remains optimistic, noting that active negotiations between Senate leadership, the White House, and Treasury remain ongoing.