Marshall Removes Contentious Swipe Fee Amendment
Senator Roger Marshall has withdrawn a controversial amendment aimed at credit card swipe fees from a significant crypto market structure bill. The provision, which Marshall filed last week, would have forced financial firms to compete on transaction processing fees. Despite receiving bipartisan backing from Democratic Senators Dick Durbin and Peter Welch, the amendment was seen as a major obstacle to the bill's progress.
According to reports citing individuals familiar with the matter, White House officials became involved in the discussions, arguing that the amendment would endanger the crypto bill's chances of passing out of committee. The provision threatened to pit the powerful financial industry against major retailers, a conflict that lawmakers are keen to avoid as they seek to establish foundational rules for the digital asset sector.
Crypto Bill Faces Bipartisan Hurdles Despite Concession
The path for the crypto legislation remains complex, even with the amendment's removal. The Senate Agriculture Committee postponed its markup of the bill until Tuesday, February 3, to allow more time to secure bipartisan agreement. This push for consensus comes as Republicans aim for policy victories ahead of midterm elections, particularly as prediction markets like Polymarket give Democrats 80% odds of winning control of the House.
Regulatory efforts are proceeding on multiple fronts with significant delays. The Senate Banking Committee has also rescheduled its own markup of crypto legislation, which could be delayed until late February or March. Lawmakers in both committees have sought to add various provisions related to ethics, conflicts of interest, and stablecoins, highlighting the challenges in crafting a comprehensive and widely accepted regulatory framework.
