U.S. Congress Races to Finalize Crypto Regulations Amid Enforcement Cutbacks
Congress is ramping up efforts to craft a unified approach to crypto regulation, with lawmakers aiming to finalize new rules that go beyond stablecoins and address the broader digital asset market.
While some progress has been made, concerns are surfacing about the scaling back of federal enforcement.
During a recent hearing, members of the House Financial Services Committee discussed upcoming legislation that could set the foundation for how crypto is regulated nationwide. Chair French Hill emphasized that the momentum around stablecoin laws should be used as a springboard for a more comprehensive framework. So far, Congress has yet to establish a federal system for overseeing digital assets—something the industry has long demanded.
Two key bills are in focus: one targeting the rules for stablecoin issuers, including reserve requirements, and another outlining how digital markets should be structured. While Republican-led, the proposals have drawn support from both parties. Representative Bryan Steil underlined the importance of treating both bills as a package, noting former President Trump’s interest in moving them forward quickly.
Hill hinted that the new market structure bill may resemble previous drafts, such as the FIT 21 Act, which managed to attract dozens of Democratic votes last year—including backing from former House Speaker Nancy Pelosi. Still, lawmakers agree that regulating the entire digital asset market presents more complexity than writing rules for stablecoins alone.
Tensions also flared over the Department of Justice’s decision to dissolve its crypto litigation team. Critics, including Rep. Sylvia Garcia, questioned who would fill that gap, especially as the SEC has begun retreating from some of its crypto cases. Rep. Brad Sherman—typically a crypto skeptic—admitted that relying on a legal test from the 1940s to oversee digital assets makes little sense in today’s world. However, he also pointed out that major financial interests have tilted the playing field, making serious reform an uphill battle.
As debates continue, the House Agriculture Committee is collaborating with the Financial Services panel to iron out the details of the broader market regulation bill.
Alex is Editor-in-Chief of Coindoo and co-founder of Millennial Media Group, with nearly a decade of experience covering financial markets - crypto first, then everything else. It started in 2016 with Bitcoin. Like most people at the time, he didn't fully understand it - so he kept digging. Blockchain, tokenomics, the projects, the cycles. That curiosity never stopped, and eventually pulled him into traditional markets too: equities, commodities, macro. Not because he left crypto behind, but because you can't properly understand one without the other. What drives him is straightforward: he wants to know why something is happening, not just that it's happening. Most market coverage stops at the headline - price up, price down, here's a chart. Alex finds that kind of reporting actively unhelpful. If you walk away from an article without understanding the mechanism behind the move, what did you actually learn? He holds a degree in Tourism from New Bulgarian University - not the most obvious path into financial markets, but markets have a way of pulling in people who are simply too curious to stay out. He has authored over 200 in-depth analyses and more than 10,000 articles across crypto and traditional finance. He still thinks every day in markets teaches him something new. That's probably why he hasn't stopped.
