Crypto Legislation Could Be Delayed Until Late 2025 Amidst Global Turmoil – Coinpedia Fintech News

  • Crypto legislation in the US is delayed due to international tensions and domestic congressional disputes.

  • Experts are skeptical that substantial legislation will materialize before late 2025.

  • Geopolitical conflicts, such as the Israel conflict, are also impacting crypto regulations.

The journey toward cryptocurrency legislation in the United States has hit turbulent waters, bogged down by delays and uncertainties. A troubling blend of international tensions and domestic congressional disputes has cast a shadow over everyone’s hopes of well-defined crypto-related laws. Legal experts and industry observers are increasingly alarmed by the shifting timeline for these important regulations.

What’s gone wrong now? Read further.

Gear Up for a Bumpy Ride!

Representing the Blockchain Association, Ron Hammond has shed light on the inopportune timing for pushing new crypto legislation through Congress. Hammond points to a myriad of obstacles that have hindered progress. International tensions and internal disagreements among House Republicans have created a climate of unpredictability, leading him to predict that Congress will grapple with uncertainty for the foreseeable future.

Also Read: Congress and SEC Clash Over Crypto Regulations; Chair Gensler Grilled

Skepticism is Growing

John Deaton, a legal advocate for XRP, echoes Hammond’s concerns regarding the prevailing congressional atmosphere. Deaton expresses skepticism about the likelihood of substantial crypto legislation materializing before the latter half of 2025. He hints that crypto advocates may need to continue their battles with regulatory bodies such as the Securities and Exchange Commission (SEC), Commodity Futures Trading Commission (CFTC), and the Federal Reserve.

Deaton further expresses doubts about Senator Elizabeth Warren and SEC Chairman Gary Gensler, suggesting that they may use concerns about terrorism and international conflicts as tools to advance an anti-crypto agenda.

“We will be forced to continue to fight the SEC, CFTC, FED, etc. In fact, @ewarren and @GaryGensler will NOT allow the truth to get in their way and will use terrorism and the war to attack crypto further.”

Geopolitical Conflicts: Understanding the Impact

Ron Hammond points to the Israel conflict as a significant factor impacting crypto regulations. Much like the freezing of wallets associated with invading forces during the Russia-Ukraine crisis, the Israel conflict has introduced new challenges. Furthermore, initiatives like “Crypto Aid Israel” are gaining traction, raising funds for humanitarian aid.

“In the meantime, we are largely in a standstill in DC from a crypto legislative perspective. The FTX trial, which many expected to dominate Capitol Hill chatter, has largely been relegated to an afterthought given the various other pressing matters.”

Also Read: Ram Ahluwalia’s Insights: Assessing Chair Gensler’s Influence on Crypto Regulation

As stakeholders and enthusiasts navigate this complex landscape, the fate of cryptocurrency regulation in the United States remains uncertain, with the timeline for meaningful legislation pushed further into the future.

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