Key Insights
- •The Senate Banking Committee has postponed the markup of a crypto regulation bill.
- •Coinbase has withdrawn its support for the current version of the bill.
- •Coinbase CEO Brian Armstrong cited numerous issues with the proposed legislation.
- •Galaxy Digital CEO Mike Novogratz expressed optimism that the bill will be passed soon.
The Senate Banking Committee has postponed its hearing on the crypto market structure, which was scheduled for Thursday. The markup was aimed at establishing clearer crypto regulation, but it has now been delayed.
This delay could slow down the progress of defining legal frameworks and compliance standards for the crypto industry.
This crucial markup was originally scheduled for Thursday, January 15, 2026. It could have allowed lawmakers to debate, amend, and vote on the crypto bill. Negotiations continued, and key industry support shifted, therefore the bill got postponed.
What Caused the Crypto Market Structure Bill Delay?
Several factors have delayed the Crypto Market Structure Bill. Coinbase, which is one of the leading crypto exchanges, has pulled back its support. It shared concerns over certain provisions of the bill, which prevented the platform from moving forward.
Several industry stakeholders and lawmakers also raised issues regarding how this bill will define digital asset classification. They also raised issues over how the bill will define oversight responsibilities.
This new crypto regulation can regulate market conduct for crypto platforms, custody, and trading. However, this is going to involve intricate financial and technological considerations, which will take time to finalize.
There are also differences within the Senate Banking Committee on the approach and scope of the crypto regulation bill. The committee members sought more consensus before the scheduled markup.
There were concerns raised about how this crypto bill’s provisions could affect crypto investors, exchanges, and institutional players. That could also have caused the delay for reviews.
Crypto Regulation: Coinbase CEO on Current Crypto Bill Form
Brian Armstrong, the co-founder and CEO of Coinbase, shared his company’s news on the current crypto regulation bill form. He stated that Coinbase has reviewed the Senate Banking draft text for more than two days, and it cannot support the bill as written.
This announcement from the Coinbase CEO could have played a major role in postponing the crypto bill markup.
Brian has long supported market structure legislation, but he stated that there are too many issues with the proposed bill. He pointed out that the bill effectively bans tokenized equities. It could limit innovation in crypto-related financial products.
Another concern Brian shared is that the current crypto regulation imposes broad restrictions on decentralized finance (DeFi). It will give the government unrestricted access to financial records.
Armstrong also criticized the current crypto bill because it weakens the CFTC. It contains draft amendments, which could eliminate rewards on stablecoins.
While criticizing the current version of the crypto regulation bill, Brian also praised members of the Senate for reaching a bipartisan outcome. Expecting a better draft, he believes it is better to have no bill than a bad bill.
Mike Novogratz Remains Optimistic on Crypto Regulation Bill
Mike Novogratz, a renowned American investor and the CEO of Galaxy Digital, has shared optimistic views on the delayed crypto regulation bill. He stated that, although the crypto bill has been delayed, he strongly believes that it will get done soon.
A well-known figure in the crypto industry, Novogratz has communicated with more than 10 Senators from both parties. All those Senators are making efforts to get things done.
He described the current delay as part of the tense, final stages of the lawmaking process, implying that such challenges don’t necessarily derail the overall effort.