The U.S. Congress is gearing up for a heated summer of legislative activity focused on cryptocurrency regulation, according to key figures in the crypto oversight landscape. Former Congressman Patrick McHenry and ex-Commodity Futures Trading Commission (CFTC) Chief Rostin Behnam have signaled that a critical window has opened to advance comprehensive crypto legislation in the United States.
Opportunity for Legislative Action
Speaking at Georgetown University’s Psaros Center for Financial Markets and Policy, McHenry emphasized the unique opportunity presented by current congressional leadership to establish robust crypto laws. With Senator Tim Scott and Representative French Hill at the helm of the Senate Banking Committee and the House Financial Services Committee, respectively, McHenry argued that this is an ideal time for the industry to push for meaningful legislation. He stressed the importance of legislative action over regulatory stopgaps, which he believes could stifle digital innovation.
Foundation for New Legislation
McHenry, who played a significant role in last year’s Financial Innovation and Technology for the 21st Century Act (FIT21), sees this as the foundation for this year’s efforts to define crypto’s market structure. This legislation aims to provide clarity on the regulatory framework for cryptocurrencies, a goal that has been elusive in previous legislative sessions.
Stablecoin Showdown Looming
A key area of focus is the regulation of stablecoins, with a brewing battle between U.S. stablecoin issuer Circle (USDC) and global leader Tether (USDT). Both companies are lobbying hard on Capitol Hill to influence how non-U.S. issuers will be treated under forthcoming U.S. laws. McHenry predicts a “reasonable landing spot” will be reached, allowing Tether to continue engaging with U.S. investors, but notes that negotiations may take several more months.
Industry Resilience Amidst Uncertainty
Despite the lack of federal regulation, the cryptocurrency industry continues to thrive, as Behnam pointed out. He noted the ongoing development of protocols and trading of tokens, which persist regardless of regulatory hurdles. Behnam also highlighted the challenges of implementing new laws, given the complexities of coordinating between market regulators and bank regulators, a process that could extend beyond a year.
Historical Context and Market Trends
The push for comprehensive crypto legislation comes in the wake of significant developments in the cryptocurrency market. As of 2025, Bitcoin and Ethereum remain dominant players, but newer blockchain technologies are emerging, challenging traditional financial systems. This evolving landscape underscores the importance of a clear regulatory framework to support innovation while protecting investors.
Outlook for the Future
The upcoming legislative session promises to be a pivotal moment for the cryptocurrency industry. As McHenry and Behnam suggest, the stakes are high, and the outcome could define the future of digital finance in the U.S. With the potential for new laws that facilitate innovation while ensuring market integrity, the summer of 2025 is set to be a transformative period for crypto regulation.
As the discussions unfold, industry stakeholders and crypto enthusiasts alike will be watching closely, anticipating the potential impacts on market dynamics and the broader financial ecosystem.
Based on the article: U.S. Congress Braces for Intense Debate Over Crypto Legislation This Summer
Steve Gregory is a lawyer in the United States who specializes in licensing for cryptocurrency companies and products. Steve began his career as an attorney in 2015 but made the switch to working in cryptocurrency full time shortly after joining the original team at Gemini Trust Company, an early cryptocurrency exchange based in New York City. Steve then joined CEX.io and was able to launch their regulated US-based cryptocurrency. Steve then went on to become the CEO at currency.com when he ran for four years and was able to lead currency.com to being fully acquired in 2025.
