Despite growing optimism among crypto industry leaders, the long-awaited U.S. crypto market structure bill is still far from completion. While Coinbase CEO Brian Armstrong and other executives have expressed confidence that legislation could advance before year’s end, new reports reveal persistent divisions in the Senate that may delay progress well into 2026.
Senate Negotiations Highlight Persistent Divide
In late October 2025, senior crypto executives, including Armstrong, met with both Senate Democrats and Republicans in Washington, D.C., to push for legislative momentum. However, according to Decrypt, the discussions revealed that lawmakers remain deeply split on key regulatory issues, including how decentralized finance (DeFi) and digital asset classification should be handled.
Republican senators reportedly pushed to finalize a bill by Thanksgiving, aiming to deliver a framework before the year-end deadline. Democrats, however, signaled resistance to rushing the process. One Senate source told Decrypt that “no one wants to be strong-armed by a calendar when the stakes are this high.”
Despite the friction, Armstrong struck an upbeat tone, stating that the bill is “90% finalized” and that both sides are “working hard to close the final 10%.” He added that he remained “bullish” on seeing a bill advance out of committee by late November.
Legislative Landscape: Partial Progress, Ongoing Uncertainty
The push for a comprehensive crypto framework follows a wave of incremental progress earlier in 2025:
- The CLARITY Act: Passed by the House of Representatives in July 2025, this bill outlines the division of oversight between the SEC and CFTC and provides a foundation for digital asset market rules.
- The GENIUS Act: Signed into law by President Donald Trump in July 2025, this was the first major federal crypto law, establishing clear rules for stablecoins and issuer reserves.
- FIT21 Framework: Originally passed by the House in 2024 but stalled in the Senate, the Financial Innovation and Technology for the 21st Century Act now serves as a blueprint for renewed negotiations.
Together, these legislative efforts have set the stage for what could be the first comprehensive crypto regulation package in U.S. history, but deep policy disagreements still stand in the way.
What’s Holding the Bill Back?
The final 10% of unresolved issues, according to Armstrong, centers on complex policy questions:
- How to regulate DeFi platforms without stifling innovation.
- Balancing investor protection with market growth incentives.
- Defining jurisdictional boundaries between the SEC and CFTC, a dispute that has long slowed progress.
Compounding the challenge is the recent government shutdown, which has disrupted the Senate’s legislative agenda. Analysts say crypto legislation could slip down the priority list as Congress focuses on budget resolutions and fiscal deadlines.
Outlook: Hopeful Momentum, But Cautious Realism
Even as optimism grows in the crypto industry, legislative insiders caution that a final bill by year-end remains unlikely. If negotiations drag into 2026, the next session of Congress may have to revisit the entire package.
Still, Armstrong’s confidence reflects a shifting tone in Washington, one where digital asset regulation is no longer a fringe topic, but a central issue in financial modernization.
Whether the political will aligns in time for a breakthrough remains the biggest question for U.S. crypto policy heading into 2026.