US senators met on Tuesday to resume negotiations on the crypto bill that would set the market structure for digital assets, according to people familiar with the situation, although no further agreements have been announced on several talking points between Democratic and Republican negotiators.
One of those meeting today, Senator John Kennedy, told Punchbowl News that Senate Banking Committee Chairman Tim Scott was planning a bill markup next week on January 15th. The committee would likely have to release an updated bill before the markup, but the latest draft was shared months ago.
After months of back-and-forth that failed to reach a finished product in last year’s congressional session, the process begins anew for 2026, even as lawmakers face a tight and politically dangerous calendar. Members of the Senate have been sparring over President Donald Trump’s actions in Venezuela, and they have a few weeks to meet a Jan. 30 deadline for a federal spending plan that could avert another government shutdown, but crypto remains in the mix as another congressional priority.
If Scott pushes for a markup next week, it could avoid some of the budget stress, but it’s unlikely to be a bipartisan effort unless senators can very quickly resolve several outstanding items that Democrats have been pushing. Democrats — some of whom were involved in Tuesday’s meeting, according to those familiar with the matter — have been pushing for ethics standards in the crypto bill to bar senior officials from profiting from digital asset activity like President Donald Trump’s. They are also seeking restrictions on decentralized finance (DeFi) platforms and limits on crypto-yields that could allow the industry to compete head-to-head with banks.
These are all sticky issues and potential deal-breakers for industry support for the legislation, although members of both parties have said they are motivated to make a deal and pass legislation. If the timing proposed by Kennedy for next week comes to pass, it could force Democratic negotiators to oppose whatever is voted on unless an agreement is reached.
Trump’s crypto czar, David Sacks, had similarly suggested last month in a post on social media X that Scott commit to a January markup, although Scott has yet to make that commitment publicly.
Several sources of pressure are all converging to increase the urgency of crypto action in the Senate. The House of Representatives has long since approved its own Digital Asset Market Clarity Act to establish US crypto regulation, so that chamber awaits the Senate. And the Jan. 30 deadline threatens to set a federal spending plan or risk a shutdown like the record-breaking 43-day one from a few months ago. This year, too, will bring the midterm congressional elections, adding further political pressure and calendar constraints.
On Tuesday, the banking industry reiterated its strong interest in using this bill to retool last year’s Guiding and Establishing National Innovation for US Stablecoins (GENIUS) Act to prevent crypto-related companies from paying returns on stablecoins. It’s been a month-long lobbying battle between the two industries, and the legislation produced by the Senate’s deliberations could determine which sector comes out on top.
Read more: What if crypto’s US market structure efforts just never get there?
