U.S. Senator Cynthia Lummis has publicly stated her objective to see two crucial pieces of cryptocurrency legislation passed by Congress before the conclusion of 2026. Speaking at the Bitcoin Policy Summit in Washington, D.C., Lummis expressed her commitment to advancing the Digital Asset Market Clarity Act, known as the CLARITY Act, in the House of Representatives, and the Guiding and Establishing National Innovation for U.S. Stablecoins Act, or the GENIUS Act, in the Senate.

Lummis, who presides over the Senate Banking Committee's digital asset subcommittee, acknowledged the difficulties in achieving bipartisan support for crypto-related bills. Concerns have been raised that individuals with family connections to the current administration might gain undue advantages from the legislation. Addressing these concerns, Lummis emphasized the necessity of bipartisan collaboration to ensure that all perspectives are adequately considered in the legislative process.

The GENIUS Act, which aims to establish a national framework for stablecoins in the U.S., has already garnered some bipartisan support. In a Senate vote held in June, the bill received 68 votes, with 18 Democrats joining Republicans in favor of the legislation. This demonstrates a willingness among some Democrats to collaborate on crypto-related matters. The Act outlines oversight, backing requirements, and consumer protection standards.

Despite this progress, some Democrats have expressed reservations about supporting any crypto legislation without first addressing concerns related to President Donald Trump's involvement in the crypto space and potential conflicts of interest. Trump has launched his own line of memecoins, holds a stake in World Liberty Financial, a crypto business with family ties, and has accepted campaign donations from executives in the digital asset industry. These connections have raised concerns among some lawmakers, who fear that the President could personally benefit from the passage of crypto legislation.

The CLARITY Act focuses on defining digital asset market structure, aiming to provide legal certainty for crypto trading platforms and token classification.

In early 2025, President Trump signed an executive order intending to bring clarity to crypto regulation and enforcement. This order established an inter-agency task force called the President's Working Group on Digital Asset Markets, chaired by David Sacks, who was designated as the administration's "Crypto and AI Czar." The Working Group is tasked with identifying all existing regulations, guidance documents, and orders that impact digital assets.

Adding to the regulatory landscape, the SEC established its own Crypto Task Force in January 2025, dedicated to developing a comprehensive regulatory framework for crypto assets. Hester Peirce, an SEC Commissioner, chairs this task force. The US still lacks a comprehensive federal regulatory framework for digital assets. The existing regulatory structure relies on applying existing financial laws to digital assets, which has resulted in inconsistencies. Several federal agencies, including FinCEN, the SEC, and the CFTC, exert regulatory authority over different aspects of the cryptocurrency sector.

FinCEN regulates digital assets for anti-money laundering (AML) and countering the financing of terrorism (CFT) purposes. The SEC oversees the issuance and resale of digital assets that are considered securities, while the CFTC regulates digital assets that qualify as commodities or are used as derivatives.

The progress of these bills is also influenced by broader political dynamics. A recent Senate hearing intended to explore bipartisan frameworks for digital asset market structure saw low attendance, signaling potential partisan divides.

Despite these challenges, Senator Lummis remains optimistic that Congress can pass the CLARITY Act and the GENIUS Act by the end of 2026. She believes that establishing clear regulatory frameworks for stablecoins and the broader digital asset market is crucial for fostering innovation, protecting consumers, and ensuring that the U.S. remains a leader in the global crypto landscape.