Republicans Aim to Pass Crypto Legislation Despite Government Shutdown

According to Cointelegraph, Wisconsin Representative Bryan Steil, a key figure behind the House of Representatives' crypto market structure bill known as the CLARITY Act, reaffirmed the Republican timeline to pass the legislation before 2026. This commitment persists despite the ongoing government shutdown, which has raised concerns within the digital industry. In a recent interview with CNBC, Steil expressed confidence that the plan to establish regulatory clarity for the digital industry remains on track. Senate leaders have pledged to have their version of the bill signed into law by 2026. However, as the government shutdown entered its eighth day, apprehensions have grown among industry stakeholders. Steil remains optimistic about the bill's progress, stating, "I think we still have an opportunity to get CLARITY across the line by the end of the year." He emphasized the potential for swift action once the shutdown concludes, suggesting that if the Senate adopts the House's text as a base, the bill could be signed into law by year's end. His comments came amid a failed Senate vote on a stopgap measure, likely prolonging the shutdown. The shutdown, now in its eighth day, has resulted from lawmakers' inability to pass a continuing resolution to fund the government beyond September 30, affecting federal operations and air travel. The House passed its version of the market structure bill through the CLARITY Act in July during the Republicans' "crypto week" initiative. However, the bill has faced delays in the Senate. Wyoming Senator Cynthia Lummis, a Republican on the banking committee, initially indicated that the committee would vote on legislation building on CLARITY by the end of September. Despite the shutdown, Congress remains in session, and lawmakers continue to receive their salaries. House Speaker Mike Johnson has stated that the chamber will not reconvene until the Senate passes a bill to reopen the government. Meanwhile, the U.S. Securities and Exchange Commission (SEC) operates with a significantly reduced staff under modified conditions, as outlined in an August plan. Reviews of cryptocurrency-linked exchange-traded fund (ETF) applications are expected to be delayed until the shutdown concludes, although the SEC's electronic filing system remains operational. The ongoing situation raises questions about the U.S. government's role in supporting the crypto industry during the shutdown.