One government crypto alliance just imploded, leaving these high-stakes developer protections in limbo

Senate Agriculture Chair John Boozman has now released updated crypto market structure text, posting a full bill PDF last night.

The release locks in a near-term Senate Agriculture path to markup next week, but it also hardens a political split that could determine whether Senate Banking gets a negotiated bridge or a rival marker for later talks.

Politico's Jasper Goodman reported the draft “has not yet been shared with [Democrat] Sen. Cory Booker,” while independent crypto reporter Eleanor Terrett said the markup “is shaping up to be partisan,” with Senate Banking having been “hoping for a bipartisan deal to smooth its own markup.”

Boozman’s Jan. 21 rollout now reframes that dynamic: the committee has text in public view, but Boozman is also signaling the Boozman–Booker effort did not land as a unified bipartisan package.

Senate Agriculture sets the near-term calendar

Procedurally, Boozman set a firm Senate Agriculture calendar that markets can anchor to even before any text was posted. In a Jan. 13 press release, Boozman said legislative text was scheduled for release by close of business Wednesday, Jan. 21, and that deadline has now been met with a posted bill PDF.

He also said the committee markup is scheduled for Tuesday, Jan. 27, at 3 p.m. Boozman previously said the committee needed more time “to finalize the remaining details and ensure the broad support this legislation requires” when he postponed an earlier markup and pointed to action during the last week of January, an arc that now ends in a published text heading into next week’s vote.

The last full text: Boozman-Booker discussion draft

What the Agriculture Committee is aiming to ship is now captured by two documents: the earlier bipartisan discussion draft released Nov. 10 by Boozman and Booker, and the newly posted Jan. 21 bill text.

That package described a framework for new CFTC authority over “digital commodities” in spot markets, plus consumer protections and a funding stream.

The Jan. 21 update keeps the CFTC-centered architecture but adds more politically sensitive definitional and operational hooks, including an explicit inclusion of “meme coins” within the “digital commodity” definition unless excluded by rule.

The text lays out definitions, rulemaking, and registration requirements for “digital commodity intermediaries” at the CFTC.

That includes registration sections for exchanges and for brokers and dealers, and the updated text adds a concrete on-ramp: expedited registration and a provisional-status operating regime that would compress the gap between enactment and functional compliance planning.

The same draft includes explicit headings for decentralized finance and anti-money laundering.

In the updated Jan. 21 text, those standalone TOC items are no longer carried in the same way; instead, DeFi concepts are pushed into hardened definitions and a new “software developer protections” section that aims to keep certain builders, interfaces, and non-custodial tooling from being treated as regulated intermediaries solely because of development, publication, or maintenance activities.

Booker’s office framed the Nov. 10 document as a discussion draft after months of negotiation. That posture now reads less like a glide path and more like a dividing line: Boozman’s rollout acknowledges Booker’s participation while still landing on text that appears positioned to move through Senate Agriculture even without a jointly branded agreement.

The emerging political split matters for markets less as a whip count and more as a parameter for timelines.

With text now posted, the next inflection is whether the Jan. 27 markup produces a committee-approved vehicle that can be reconciled with Senate Banking’s delayed H.R. 3633 track, or whether it forces Banking to wait for a cross-committee bargain that may now be harder to reach.

Scott had originally aimed to move that process via a Jan. 15 markup before it was postponed. If Agriculture moves ahead on Jan. 27 without Booker’s sign-off in the manner described on X, the committee vote can still produce a negotiating vehicle, but it would likely do so as a sharper partisan marker rather than a pre-negotiated bridge.

That outcome would also increase the odds that Banking stays staggered until a cross-committee compromise emerges. In the provided materials, Banking’s only recorded update is the “POSTPONED” status for its executive session.

Compliance timelines and market sensitivity

A staggered approach keeps compliance planning focused on what firms can prepare for without final statutory boundaries.

That is especially true for registration mechanics and operational controls that resemble existing CFTC market intermediaries, and the updated text attempts to narrow uncertainty by specifying an expedited registration pathway and interim operating conditions rather than leaving the entire ramp to later rulemaking.

The Agriculture discussion draft’s emphasis on definitions, rulemaking, and registration implies that even after enactment, the first binding constraints would be the pace of CFTC rulemakings and supervisory throughput for new registrants.

The updated text adds more explicit timing mechanics: it directs the CFTC to stand up an expedited registration process within 180 days, then ties continued operations to registration within a 90-day window once that expedited process is in place, with provisional status persisting until later effective dates land.

That capacity question sits against a baseline where the CFTC reported more than $17.1 billion in monetary relief and 58 new enforcement actions in FY2024.

Those figures show enforcement scale that is not the same thing as standing up routine spot-market examinations and ongoing supervision for a larger set of registered entities, and the new build-out of expedited registration raises the stakes on whether resourcing and throughput can match the bill’s compressed ramp.

In parallel, the SEC de-emphasized high-profile “registration/status” fights with major crypto venues (often dismissing legacy cases) while continuing to pursue retail-harm / fraud matters. In 2024, the SEC brought 33 crypto-related enforcement actions, down 30% from 2023. Last year (2025), that number fell even further, with only a handful of SEC releases related to crypto.

That keeps an enforcement backdrop for tokens that remain in dispute over whether they fall under securities laws, even as the Agriculture text pushes toward a commodity-like spot framework that now explicitly sweeps in meme coins unless later excluded.

Market positioning has also shown sensitivity to policy and macro repricing, which can amplify the impact of committee calendar risk even before statutory language is finalized.

CoinShares reported $454 million in weekly outflows in its Jan. 12 report, tying the shift mainly to fading expectations of a March Federal Reserve rate cut after macro data.

One week later, CoinShares reported $2.17 billion in weekly inflows, its largest since October 2025. It noted sentiment weakened late in the week amid geopolitical tensions, tariff threats, and policy uncertainty, with $1.55 billion into bitcoin products and $496 million into ether products.

Stablecoins, AML, and the next marker

For lawmakers, stablecoin-linked liquidity and AML integrity remain pressure points that can influence where trading, custody, and settlement concentrate once federal rules move from draft text to compliance programs.

The Agriculture effort’s earlier discussion-draft approach included explicit DeFi and AML headings, but the updated text’s higher-signal additions are elsewhere, most notably the expanded definitional architecture (including meme coins) and software developer protections, leaving AML pressure to be fought over through other supervisory and statutory levers.

Those outcomes depend on whether obligations are written directly into statute or delegated to later rulemaking. International policy framing continues to push in the direction of tighter guardrails.

The Bank for International Settlements has argued stablecoins “fall short” as sound money and can pose risks without regulation. It has also promoted a “tokenised unified ledger” concept for settlement and tokenization, implying more formal integration with regulated financial infrastructure over time.

With Senate Agriculture’s text release deadline now passed and its markup scheduled for Jan. 27, the next formal marker for US crypto market structure is whether the posted bill can clear committee and reopen a workable bipartisan lane, or whether the break with Booker’s earlier bipartisan posture leaves the software developer protections and interim registration mechanics as bargaining chips in a longer cross-committee negotiation.

The market’s next read-through will also depend on how any released text is positioned relative to Booker’s earlier bipartisan draft release.

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