Crypto Market Structure Bill Gains Momentum as Senate Democrats Signal Support

The long-awaited crypto market structure bill appears to be gaining momentum after a series of positive political developments over the weekend. According to a report by Politico, key Democratic senators have agreed not to raise several major objections during the upcoming markup session, signaling a rare moment of bipartisan cooperation that could help advance crypto regulation in the United States.

Notably, Senate Democrats have indicated they will not attempt to block the bill during the markup scheduled for this Thursday. Among the senators involved are Roger Marshall and Dick Durbin, who had previously been pushing to attach credit card swipe fee reforms to the crypto market bill. Senator Marshall, in particular, had introduced an amendment last week aimed at forcing payment networks to compete on credit card transaction fees, an issue he and Senator Durbin have worked on for years.

Over the weekend, Senator Marshall agreed to withdraw his concerns following negotiations, choosing not to call up the swipe fee provision during the markup. This decision is widely seen as a strategic move to avoid derailing the broader crypto market structure legislation. Sources indicate that White House officials also intervened, warning that the proposed amendment could jeopardize the entire bill. While some Republicans were reportedly prepared to support Marshall’s credit card proposal, its inclusion would likely have delayed progress once again.

Despite this breakthrough, several amendments remain under discussion, including proposals focused on anti-fraud measures for crypto ATMs, a ban on government bailouts for crypto issuers, and other regulatory safeguards. These unresolved issues suggest that negotiations are still ongoing, even as overall sentiment around the bill improves.

The timing is also critical. The Senate Agriculture Committee is moving forward with the markup just days before a potential government shutdown, with the funding deadline set to expire on Saturday, January 31. Market participants have already priced in the likelihood that a shutdown-avoidance funding bill may not be finalized in time, which helps explain the increased urgency and lobbying around crypto legislation.

According to Polymarket data cited at press time, Senate Democrats are blocking the current funding package. Senate Minority Leader Chuck Schumer stated that Democrats will not provide the necessary votes to pass the measure, adding further pressure to an already tense legislative week.