Bank Scrutiny vs. Wall Street Approval Clash...US Crypto Bill Reaches Final Hurdle

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The U.S. cryptocurrency market structure bill is on its final threshold for a Senate vote ahead of the August recess.

Paul Barron, host of the cryptocurrency YouTube channel Paul Barron Network, claimed in a video uploaded on July 29 (local time) that there is still a possibility for the U.S. Senate to bring the U.S. cryptocurrency market structure bill to the floor after processing the Russian sanctions bill and approximately 74 confirmation votes. He explained that Senate leadership mentioned the possibility of a bill vote, and that the Russian sanctions and confirmation votes could be processed quickly based on bipartisan support.

60 votes are required for Senate passage. Barron stated that 18 Democratic senators who previously supported related bills are key targets for persuasion, and the Republican Party needs to secure an additional 7 votes to pass the bill. He also presented the movement of Republican senators demanding a postponement or cancellation of the August recess as a variable that could influence the bill's processing.

Banking lobby was identified as the biggest issue. Barron interpreted that banks are exerting influence on the bill regarding stablecoin profits and payment account access issues. He cited the ABA's demand for safeguards such as limits on interest payments, intraday credit, discount window access, and access to the U.S. Federal Reserve (Fed). Barron argued that these demands could put pressure on Ripple and Ripple Mint, which provides RLUSD issuance and redemption services for institutions.

Wall Street's stance was divided. Goldman Sachs CEO David Solomon supported the bill's advancement, stating that while it's not perfect, it establishes a fair competitive environment and market structure. BlackRock, Charles Schwab, and Fidelity were also mentioned as supporters in the video. Barron analyzed that the interests of investment and asset management-focused financial companies differ from those of deposit-based banks.

Ethical debates are also a variable. The video introduced a case where an investor who purchased a meme coin related to the U.S. President Donald Trump's family lost about $10,000 and $1,000. Barron assessed that Democrats are using investor harm and conflict of interest issues as arguments against the bill. The identities of SEC and CFTC nominees were not disclosed, and Gary Gensler's potential return to a regulatory body remained a scenario raised by Barron.

[Article Key Summary]

-60 votes are required for the U.S. cryptocurrency market structure bill to pass the Senate, with an additional 7 Democratic votes identified as a key variable.

-Barron claimed that the banking sector is exerting influence on the bill due to concerns over stablecoin profits and competition in payment networks.

-Some financial companies, including Goldman Sachs, supported the bill, but ethical regulations and uncertainty regarding SEC and CFTC appointments remain.

*Disclaimer: This article is for investment reference only, and we are not responsible for investment losses based on it. The content should be interpreted for informational purposes only.*