As subscribers to this newsletter are aware, the US Congress has been debating market structure legislation for several months, but cryptocurrency policy discussions encompass a wide range of issues beyond this single topic, including taxes, decentralized finance regulations, the upcoming midterm elections, and state-specific approaches. CoinDesk's Consensus Miami conference, scheduled for next month, will delve into each of these issues in detail. This newsletter, State of Crypto, explores the intersection of cryptocurrency and government.
To receive future editions, click here to sign up. Conversations in Miami As previously noted in this newsletter, significant policy changes surrounding digital assets have become increasingly important. Last year, US President Donald Trump signed the first substantial crypto-specific legislation, and regulators have since shifted their approach to enforcement actions.
In recent months, Congress has been debating the finer points of issues like stablecoin yield treatment, rather than the broader aspects of a potential market structure bill. In essence, cryptocurrency has become a recognized entity. Although this was also true last year, the crypto industry, fresh from its electoral victories in 2024, took a moment to celebrate as the price of bitcoin soared to over $120,000 and legislation seemed imminent.
However, the landscape has changed slightly this year, with crypto prices remaining relatively stagnant amidst broader economic stress and time running out for Congress to pass market structure legislation in its current form. Despite this, regulators have begun proposing rules for stablecoin companies based on the GENIUS Act, lawmakers are considering reforms to US crypto tax policy, and the industry appears to have solidified its position to the point where it can no longer be dismissed.
So, what's next? The industry is still pushing for tax reform, including a de minimis exemption for crypto transactions, hoping that the market structure bill will become law without overly burdening the industry, and looking ahead to November, when the US will elect the next Congress. We will pick up these threads next month at Consensus Miami, our annual event that brings together key stakeholders. The conference will feature leading lawmakers, such as Senators Kirsten Gillibrand and Ashley Moody, regulators like CFTC Chairman Mike Selig and the White House's point man on crypto, Patrick Witt, as well as congressional staffers, over the course of three days.
Congressman Steven Horsford (D-Nev.), who recently introduced a new version of the Parity Act to address crypto taxation, will participate in a discussion about the bill. We will also host a meetup for those interested in discussing the election or the broader policy landscape.
Additionally, we are bringing back the Policy & Regulation Summit: an entire day and stage dedicated to exploring key policy and regulatory issues in-depth. The policy summit is designed to address some of the most pressing questions facing lawmakers, regulators, compliance officers, and builders, including whether and how decentralized finance can comply with anti-money laundering rules, how to navigate taxes in the new 1099-DA era, the implications of the Clarity Act, and how states are approaching this sector. We will have a series of sessions focused on the 2026 midterm elections, including the crypto industry's engagement with the election and what to expect next year when the new Congress takes office. Along the way, we will hear from individuals deeply involved in the policymaking process, such as SEC Crypto Task Force chief Taylor Lindman, former IRS officials Seth Wilks and Raj Mukherjee, and the National Futures Association's Lucy Hynes, among many others.
We will conclude the Policy Summit, and Consensus as a whole, with a debate on one of the most significant topics in the country: prediction markets. Are they merely a form of gambling, or do they represent a novel financial instrument? And who should regulate these products?
These questions are likely to be considered by the US Supreme Court, but we will preview the arguments for you on May 7. Join us (use the discount code in the link) and say hello.
This week Tuesday If you have thoughts or questions about what I should discuss next week or any other feedback, feel free to email me at nik@coindesk.com or find me on Bluesky @nikhileshde.bsky.social. You can also join the group conversation on Telegram. See you all next week.