Democrat leaders back positive crypto reform in 2024, but community remains divided

Last night, Aug. 14, at a Crypto4Harris event, Senate Majority Leader Chuck Schumer and other prominent Democrats expressed strong support for crypto, underscoring the importance of regulatory clarity and bipartisan collaboration to shape the industry’s future.

Schumer emphasized that Congress has a responsibility to enact common-sense and sound regulations for crypto, aiming to bring both sides of the aisle together to pass sensible legislation. He indicated his goal is to get a comprehensive crypto bill into law by the end of the year. Schumer compared crypto regulation to artificial intelligence regulation, noting that both technologies can thrive with the proper regulations.

He also highlighted the need for collaboration between Congress and the industry to provide regulatory clarity, warning that failing to regulate crypto could drive the industry overseas to countries with little to no regulation. Schumer highlighted that the U.S. must be the global leader in crypto and, with Democrats in the Senate majority, bipartisan legislation for sensible regulation is achievable.

Governor Jared Polis of Colorado highlighted his state’s pioneering role in adopting crypto for various state services, including taxes, DMV fees, and hunting licenses. He mentioned that Colorado embraces regulatory sandboxes and sees crypto as part of broader innovation efforts. Polis pointed out that Democrats aim to empower people through blockchain technology and noted that Colorado is exploring ways to integrate blockchain more deeply into state functions.

He also referenced historical events like Mt. Gox and FTX to stress the importance of proper regulation, adding that Vice President Harris, who hails from California—a hub of Silicon Valley innovation—is well-positioned to embrace and advance innovation in this space.

Senator Debbie Stabenow discussed her collaboration with Senator Kirsten Gillibrand on regulatory aspects of crypto, with the goal of ensuring that innovation can flourish while protecting consumers. Stabenow emphasized that Democrats in the Senate are serious about enacting crypto legislation and are committed to keeping crypto innovation in the US.

She highlighted that a bill supported by many in the crypto industry is in the works, which would establish rules for trading cryptocurrencies and empower the Commodity Futures Trading Commission (CFTC) to protect consumers while allowing blockchain technology to thrive. Stabenow mentioned that Schumer was…