Regulation
Key US Senate Member, Republican Tim Scott, Makes His Bitcoin (BTC) Fan Debut
U.S. Sen. Tim Scott (R-C.), the top Republican on the Senate Banking Committee who may be in a position to become its next chairman, has argued in an appearance at Bitcoin 2024 on Friday that the government should “make it easy” for the cryptocurrency industry to innovate in the United States
It’s a common refrain among Republican lawmakers these days, but Scott, the direct counterpart to crypto-skeptic Chairman Sherrod Brown (D-Ohio), has remained relatively silent on cryptocurrencies as that committee has become the bottleneck for U.S. legislation.
He broke that reticence with his lively cryptocurrency debut at Bitcoin 2024 in Nashville, Tenn., where he shouted about the merits of digital assets. Scott could become chairman of that committee, which oversees U.S. financial regulation, if Republicans regain the Senate majority after the November elections.
“We have to get rid of those who are standing in our way,” he said, speaking alongside U.S. Sen. Cynthia Lummis (R-Wyo.), and harshly criticizing Securities and Exchange Commission Chairman Gary Gensler as an obstacle to cryptocurrency policy. “Chairman Gensler, Lord have mercy… Go, Jack, and don’t come back, never, never again.”
Before Friday, Scott, who was among those running for the Republican presidential nomination this year, had been relatively quiet on cryptocurrency issues, even as Democrats on the committee, such as Sen. Elizabeth Warren (D-Mass.), became outspoken critics of the industry. His potential to grab the Senate Banking Committee chairman’s gavel next year came up repeatedly during his time on stage with Lummis, and he said that if that happened, he would make sure his legislation gets a quick vote, “freeing bitcoin here at home.”
Lummis was reportedly pushing recently for a bill that would require the Federal Reserve to hold some bitcoin as a strategic reserve asset. He did not address the topic during his appearance Friday, though many at the event are hoping former President Donald Trump will mention the idea when he is scheduled to appear at the conference on Saturday.
“Bitcoin innovations are becoming clearer in the U.S. Senate, and it’s also becoming clearer who wants to protect the innovation and who wants to regulate it,” Lummis said.
Legislation to regulate cryptocurrencies has passed the House of Representatives, but has so far been pending in the Senate. Advocates are still hoping something will pass by the end of the year, but the odds remain slim.
As for new cryptocurrency legislation, at this stage of the congressional session (with the 2024 election looming and the session winding down), it is unlikely to gain enough momentum to become law, but such efforts can sometimes spark negotiations for future bills.
The senators took the stage shortly after Michael Saylor, executive chairman of software company MicroStrategy (MSTR), the largest corporate holder of bitcoin, argued that the United States should aim to acquire 4 million BTC to strengthen its Treasury and build its financial strength. He said only one or two nations would have the opportunity to enjoy what he described as the token’s massive future growth at that point.
“Bitcoin is not the solution to all our problems,” Saylor said. “It’s the solution to half our problems.”
ARK Invest CEO Cathie Wood also praised the idea of a strategic bitcoin reserve for the United States
“If they do it right, that is, if it is not a monetary policy instrument at all, but simply an element that goes into our balance sheet… it could be a game changer,” he said.
The conference also saw Robert F. Kennedy, the independent presidential candidate who has been a longtime proponent of digital assets, promise to make bitcoin a strategic reserve asset if elected president (though polls suggest he remains an unlikely candidate). There were reportedly last-minute discussions with Vice President Kamala Harris’ representatives about attending, but she will not be showing up.