The U.S. Senate Banking Committee, led by Senator Tim Scott, is set to establish a new subcommittee focused on cryptocurrency. This initiative will mirror the House Financial Services Committee, which is currently led by Patrick McHenry. Reports suggest that Republican Senator Cynthia Lummis from Wyoming will chair this subcommittee, with members to be selected soon.
This development is viewed as a major advancement for crypto regulations in the U.S., reflecting the pro-crypto policies of the Trump administration. With Trump’s inauguration approaching, his team is expected to push for several crypto-friendly regulatory measures.
The subcommittee’s goal is to create clear regulations for the crypto industry, emphasizing consumer protection and encouraging innovation. Senator Lummis is considered a strong candidate for this role due to her extensive knowledge of the crypto space . Sheila Warren, CEO of the Crypto Council for Innovation, commended Lummis for her potential to implement effective regulations that balance innovation with accountability.
The initiative aims to explore economic opportunities and promote financial inclusion while ensuring regulations do not stifle technological progress. Senator Scott has expressed support for the idea that cryptocurrency can democratize finance.
Crypto companies are also aligning with the new administration, with significant donations made to Trump’s inaugural fund from firms like Circle and Ripple. This reflects the growing impact of the crypto sector on policy discussions.
Senator Lummis has been a vocal advocate for crypto , suggesting strategic Bitcoin reserves and even proposing the sale of some Federal Reserve gold to buy Bitcoin. Trump has shown interest in establishing national Bitcoin reserves, though this requires congressional approval.
In contrast, the current administration plans to sell $6.7 billion in Bitcoin seized from the Silk Road, which could complicate future efforts to create Bitcoin reserves. Overall, the formation of the Senate crypto subcommittee and other developments indicate a positive outlook for the U.S. crypto industry in 2025.
Recently, Donald Trump introduced a new NFT collection called “Trump Bitcoin Digital Trading Cards” on the Bitcoin network using the Ordinals protocol.
