"Last week, when I was tracking Coinbase's opposition to the Clarity Act, I kept hearing the same fear from worried DC insiders: The crypto industry was running out of time to pass a bipartisan market structure bill that would actually give them a favorable outcome. The midterm elections are imminent, and Congress will switch to campaign mode in the upcoming weeks, meaning policymaking and bipartisanship will take a backseat to reelection priorities. To put it in private sector parlance, there will be guaranteed personnel turnover, and their replacements may not be quite as friendly to the crypto industry."
"Given this trend, Coinbase has taken a huge gamble: that crypto's allies would remain in Congress, with the Republicans nudged along by President Donald Trump, and that the Democrats who are hostile to crypto, like Rep. Maxine Waters (D-CA) or Sen. Elizabeth Warren (D-MA) wouldn't seize the policy wheel. They had two allies speaking on their behalf, too: White House AI and crypto czar David Sacks, and the president's son, Eric Trump, who told a crowd at the World Economic Forum in Davos, Switzerland, that the banking industry was responsible for Clarity stalling."
Coinbase opposed the Clarity Act and faces a shrinking window to secure a favorable bipartisan market-structure bill before midterm elections. Historical midterm trends predict seat losses for the incumbent president's party, increasing the likelihood of Democratic gains that tend to be hostile to crypto. Congress shifting into campaign mode will slow policymaking and reduce bipartisanship. Expected personnel turnover raises the risk of replacing friendly lawmakers with less sympathetic ones. Coinbase is betting that its allies and high-profile supporters will prevent hostile Democrats from taking control of crypto policy before elections.
Read at The Verge
Unable to calculate read time
Collection
[
|
...
]