Senate Banking Committee to Mark Up Digital Asset Market Structure Bill in January
US Senate Banking Committee members are expected to hold a markup on a digital asset market structure bill (Responsible Financial Innovation Act) in the second week of January 2026. The move follows delays caused by Democratic concerns over decentralized finance and the extended US government shutdown. The Senate Agriculture Committee is also working on its version of the bill. The legislation aims to clarify regulatory oversight of digital assets—potentially expanding the Commodity Futures Trading Commission’s (CFTC) authority and promoting coordination between the CFTC and the Securities and Exchange Commission (SEC). The House passed a related bill in July (Digital Asset Market Clarity Act, CLARITY). Uncertainty remains about Senate passage, with political factors such as the 2026 midterm campaign and the announced retirement of bill supporter Senator Cynthia Lummis (R‑WY) potentially affecting momentum. Key names: Senator Cynthia Lummis; Republican Senator Thom Tillis; Cody Carbone (Digital Chamber). Primary keywords: digital asset market structure, CFTC, SEC, market structure bill. Secondary/semantic keywords: Responsible Financial Innovation Act, CLARITY, decentralized finance, Senate markup, regulation.
Neutral
The news is neutral for markets because it signals regulatory clarity may advance—often a positive for institutional adoption—yet passage and final text remain uncertain. A Senate markup indicates legislative progress and could improve medium- to long-term investor confidence if it increases CFTC authority and clarifies jurisdiction between the CFTC and SEC. However, political headwinds (2026 campaign season) and the retirement of a key proponent, Senator Lummis, increase legislative risk. Short-term market reaction is likely muted: traders typically wait for bill language, vote outcomes, or concrete regulatory changes before moving positions. If the markup yields language favorable to market participants (clearer rules, CFTC jurisdiction for many tokens), it could be mildly bullish over months; if it contains stricter constraints on DeFi or token classifications, that could be bearish for affected tokens. Historical parallels: announcements of clearer crypto regulation (or perceived progress) have supported price stability and inflows, while uncertainty or stricter rule proposals have produced volatility. Overall, expect limited immediate price impact but meaningful implications for institutional flows and derivatives markets if the bill advances.