As subscribers to this newsletter are aware, Congress has been debating market structure legislation for the past few months, but discussions on crypto policy encompass a wide range of issues beyond this single topic, including taxes, regulations on decentralized finance, the upcoming midterm election, and more. The Consensus Miami conference, scheduled for next month, will delve into each of these issues in depth. This newsletter, State of Crypto, is published by CoinDesk and focuses on the intersection of cryptocurrency and government. To receive future editions, click here to sign up.
Conversations in Miami We have previously noted the significant policy changes surrounding digital assets. Last year, U.S.
President Donald Trump signed the first substantial crypto-specific legislation. Regulatory agencies have also shifted their approach to enforcement actions. Recently, Congress has been debating the finer points of issues such as the treatment of stablecoin yields, rather than the broader aspects of a potential market structure bill. In essence, cryptocurrency has become a mainstream topic.
This was also true last year, when the crypto industry celebrated its electoral victories in 2024 and the price of bitcoin soared to over $120,000, making legislation seem imminent. However, the situation has become less favorable this year, with crypto prices remaining largely stagnant due to broader economic stress and time running out for Congress to pass market structure legislation in its current form. Despite this, there are positive developments: regulators have begun proposing rules for stablecoin companies based on the GENIUS Act, lawmakers are considering reforms to U.S. crypto tax policy, and the industry appears to have established itself to the point where it can no longer be dismissed.
So, what's next? The industry is still seeking tax reforms, including a de minimis exemption for crypto transactions, and is hoping that the market structure bill will become law without overly burdening the industry. Additionally, the industry is looking ahead to November, when the U.S. will elect a new Congress.
We will explore these topics further at Consensus Miami, our annual event that brings together key players in the industry. 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. Congressman Steven Horsford, 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 policy landscape in general.
Furthermore, we are reviving the Policy & Regulation Summit, an entire day dedicated to exploring key policy and regulatory issues in-depth. The policy summit is designed to address some of the most pressing questions that lawmakers, regulators, compliance officers, and industry builders must answer, including 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 election, including how the crypto industry is engaging with the election and what to expect next year when the new Congress takes office.
Throughout the event, 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 simply a form of gambling, or are they a novel financial instrument? And who should regulate these products?
These questions may eventually be decided by the U.S. 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 we 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!