The Senate Banking Committee voted Thursday to approve, mostly along party lines, legislation that would set the rules for the operation and oversight of digital asset markets, advancing a landmark bill the panel has been working on since last summer.
Months of negotiations between Republicans and Democrats resulted in only two Democrats — Sens. Ruben Gallego of Arizona and Angela Alsobrooks of Maryland — joining all Republicans in a 15-9 vote.
The lack of support from committee Democrats may portend trouble for the measure on the Senate floor, where at least seven Democrats or independents would have to vote in favor, if all Republicans are in support, to overcome a filibuster. The Senate legislation is a substitute amendment adopted Thursday to replace the text of a market structure bill passed by the House last July, requiring that chamber to take it up again if it is to become law.
Gallego and Alsobrooks, as well as other pro-cryptocurrency Democrats, said an ethics provision needs to be added to the bill and other investor protection and law enforcement improvements need to be made before they’ll support final legislation.
“I want to be clear that my vote here does not guarantee a vote on the floor,” said Gallego, ranking member of the Digital Assets Subcommittee. “Perhaps the toughest issue of all, we have come close but have not finished an agreement on [an] ethics guardrail for all elected officials. [We need] real enforceable standards for what is and is not acceptable for someone who holds public trust and shouldn’t be able to profit off an industry that they enforce or regulate.”
