Andrew Cuomo, a board member at crypto exchange OKX, warned that current regulatory progress in the US crypto sector remains fragile. He noted that agency-led rules lack the permanence of formal legislation and could face scrutiny from a new Congress following the upcoming elections.
The Senate rejected the Clarity Act on September 15 with a vote of 49 to 50, failing to reach the 60 votes required to advance. The bill aimed to establish federal standards for crypto markets. Democrats sought stricter ethics rules for officials involved in crypto, while four Republicans also opposed the measure.
Despite the legislative setback, the Securities and Exchange Commission issued a five-year exemption on September 17 for trading tokenized stocks. Cuomo, who previously served as New York Governor, suggested that a new Congress might re-examine such agency-driven policies.
Cuomo attributed the failure of the Clarity Act to election-year politics rather than fundamental policy disagreements. He expressed hope that the bill could be passed during the lame-duck session or by January 1. Senator Thom Tillis has filed a motion to allow for a potential re-vote.
Reflecting on his experience with the 2015 New York BitLicense, Cuomo acknowledged that regulatory regimes can become overly stringent. He also criticized the crypto industry for failing to organize its user base to support legislative efforts, noting that political donations alone are insufficient.
