Senators Cynthia Lummis and Tim Scott attend the SALT Wyoming workshop on August 21, 2024. (Nikhilesh De/CoinDesk)
TETONS VILLAGE, Wyo. — The window for cryptocurrency legislation in 2024 is shrinking, but it’s still possible to pass some legislation this year, Wyoming Sen. Cynthia Lummis said Wednesday.
Lummis spoke alongside South Carolina Sen. Tim Scott at the SALT Wyoming Symposium ahead of the Fed’s annual Jackson Hole conference, and while neither delved into details of any particular bill, Lummis mentioned the work of the Senate Agriculture Committee.
Loomis and Scott also appealed to voters for support during the brief SALT meeting, saying that Republicans are more aligned on cryptocurrency interests than Democrats. (Republican presidential candidate Donald Trump has strongly supported cryptocurrency in this election cycle. While Democratic candidate Kamala Harris has not yet discussed the issue directly, Bloomberg reported on Wednesday that she has expressed a more friendly attitude toward digital assets.)
Scott is the leading Republican on the Senate Banking Committee and has not spoken much about cryptocurrencies during his tenure as the committee’s senior member. However, he introduced himself to the crypto crowd at the BTC Nashville conference last month alongside Loomis and expressed support for the crypto community, including calling for more lenient regulators and saying he would support crypto-friendly legislation.
Scott, who would become chairman if Senate control falls to Republicans, on Wednesday floated the possibility of creating a subcommittee focused on digital assets if he holds the post. “Wouldn’t it be great if we had a subcommittee on the Banking Committee that was focused on the industry? That way we could bring more light to the conversation, have more hearings for the industry, and get things done faster,” he said. “We could go further and faster in a shorter period of time because we have that drive and that momentum to push bills through the chamber.” Both Loomis and Scott cited current committee chairman Sherrod Brown (D-Ohio) and Sen. Elizabeth Warren (D-Mass.) as lawmakers creating “headwinds” in the push for crypto legislation. “The only way we can get anything done this year is if it gets through the Senate Agriculture Committee in the form of CFTC [legislation],” Loomis said. Senate Majority Leader Chuck Schumer (D-N.Y.) pledged during an appearance at a “Crypto4Harris” event last week to push cryptocurrency legislation through the Senate and have it signed into law by the end of the year.
She described a hypothetical scenario in which the Senate Agriculture Committee could vote down a bill that would become “what we call a Christmas tree.”
In this case, Loomis said she could see stablecoin provisions being added to the Agriculture Committee bill, using the Howey Test as a basis to help define a stablecoin.
“Chuck Schumer introduced the Safer Banking Act, and then all of a sudden he introduced a very broad financial services bill that had enough support to pass," Loomis said. "So this scenario could actually happen after the election. The challenge is getting enough legislative time to pass a bill like this." Scott agreed, saying it's unlikely any bill would make it out of the Senate Banking Committee this year.
"The motivations and incentives are there. Two of the incentives are very important, [House Financial Services Committee member Patrick] McHenry [who oversees] financial services, and [Senate Agriculture Committee Chairwoman Debbie] Stabenow [are both retiring members]," he said. "Schumer wants to give Stabenow a swan song, and that could be this legislation. So there are forces on both sides of the aisle in both chambers trying to get something done so that their legacy includes legislation that will be very beneficial, not only to industry, but in my opinion, to the American consumer as well."
Election considerations
Scott predicted there’s a good chance Republicans will hold 52 or 53 of the 100 U.S. Senate seats after the 2024 election, noting that Joe Manchin, I.W.V., will not run for reelection and pointing to tight races in Ohio and Montana.
"This is not about performing better politically. This is really about self-interest. Americans generally vote based on hot-button issues and then community issues," Scott said, noting that former President Trump's remarks at BTC Nashville focused on those issues.
Loomis criticized Vice President Harris during the panel, saying there was “no indication” she would be “good for the industry.” Harris’ campaign has yet to come up with any plans for cryptocurrencies, having only begun rolling out policy initiatives last week.
Earlier on Wednesday, Harris' campaign adviser and former senior Treasury official Brian Nelson said Harris wants to develop the cryptocurrency industry, but did not provide specific details. Loomis said this is in stark contrast to the Republican platform, saying that the platform written by Trump does include digital assets.
Loomis said the 2024 election is the most Republican-friendly in the next six years, referring to the number of seats in Republican-leaning states. She said Republicans will be more defensive than Democrats in the next two elections, in 2026 and 2028.
“So the best thing for Republicans to do is this. If we have a Republican president and a Republican House and Senate for two years, we can move mountains. We can be relevant. We can lead in this industry and other industries in a positive direction to promote innovation,” she said. “If we miss this opportunity, we won’t have the same opportunity again for a long time.”
