The head of exchange go-to-market at Forte and a former crypto exchange executive said Republicans were at the receiving end of at least $125.5 million of that crypto-lobbying spend.
Despite control of Congress and a crypto-friendly president, Donald Trump, the Clarity Act failed to advance in September. With Democrats now taking back both chambers, the industry’s chances of passing the bill in its current form have narrowed further, Golub said.
The Forte founder said he agrees the bill is in serious trouble, although he credits Trump with changing how regulators treat the industry today.
“Trump created a friendlier environment for crypto companies, but his family’s involvement also gave Democrats a reason to oppose crypto-friendly legislation,” Golub said.
One obstacle has been the fight between banks and crypto firms over stablecoin rewards. Banks oppose allowing exchanges to pay customers rewards on dollar-backed tokens, fearing that deposits could leave traditional bank accounts.
Golub said Republicans failed to settle that dispute when they controlled Congress. He believes the bill’s chances of passing its previous form have collapsed.
But he doesn’t expect the election to stop crypto trading products from expanding. Golub pointed to Tuesday’s decision by the Commodity Futures Trading Commission (CFTC) to allow a single stock perpetual futures on qualifying U.S. exchanges, though a federal judge indicated Tuesday that these products might not be allowable under the CFTC.