Government Shutdown Expected to End This Week Says White House Adviser

TLDR

• Kevin Hassett expects the US government shutdown to conclude this week after running for 20 days
• The shutdown has frozen crypto ETF applications for Litecoin, XRP, and Solana at the Securities and Exchange Commission
• Democratic lawmakers will meet crypto industry leaders from Coinbase, Circle, and Ripple on Wednesday
• Funding disputes center on Republican demands for current spending levels versus Democratic requests for healthcare funding
• Polymarket gives 71% probability the shutdown extends beyond 30 days until at least October 31

The US government shutdown may finally reach its conclusion. Kevin Hassett, a White House economic adviser, told reporters the shutdown will probably end this week.

The shutdown started on October 1 and has continued for 20 days. This makes it the third longest government closure in the nation’s history.

Hassett spoke to CNBC on Monday about the ongoing situation. He pointed to Senate Minority Leader Chuck Schumer as responsible for the impasse.

The adviser mentioned potential stronger measures if cooperation fails. He did not provide details about what actions the administration might take.

SEC Cannot Process Crypto ETF Filings

The cryptocurrency sector faces delays from the shutdown. Multiple ETF applications sit waiting for regulatory review.

Litecoin, XRP, and Solana ETF filings remain in limbo. The SEC cannot make decisions while government operations stay suspended.

Hassett has personal investments in cryptocurrency. He owns more than $1 million in Coinbase stock according to financial disclosures.

The White House is considering Hassett as a potential Federal Reserve Chair. He could replace Jerome Powell when his term ends in May 2026.

Work on Trump’s Strategic Bitcoin Reserve has also paused. Congress members met with Michael Saylor and other crypto executives in September.

The meeting discussed the BITCOIN Act sponsored by Senator Cynthia Lummis. The bill outlines ways to purchase Bitcoin without affecting the federal budget.

Crypto Executives Meet with Democratic Senators

Some regulatory discussions continue despite the shutdown. Democratic Senators scheduled a roundtable for Wednesday with industry representatives.

Executives from Coinbase, Circle, and Ripple plan to attend. The meeting will address the proposed crypto market structure legislation.

Republicans want temporary funding at current spending amounts. Democrats demand increases for healthcare programs and Affordable Care Act tax credits.

Hassett suggested political events affect the timeline. He believes Democrats are waiting for protests against President Trump to finish.

The adviser thinks an agreement could happen quickly this week. He expects Democratic support once the demonstrations conclude.

Prediction markets show different expectations. Polymarket users put 71% odds on the shutdown lasting past 30 days.

Trading data reveals shifting sentiment about resolution timing. The probability of ending between October 23 and 26 climbed to 35%.

Last week that same timeframe had less than 10% probability. The chance of resolution after mid-November fell to 27%.

Polymarket trading volume has increased substantially. Investors are closely tracking political developments for market implications.

Federal Reserve rate decisions could be affected by the shutdown. Crypto markets remain sensitive to both regulatory and monetary policy changes.

The standoff continues between Republicans and Democrats over funding priorities. Both sides face pressure to reach a compromise soon.

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