Senate has not passed the 60-vote threshold: Novogratz says government chaos has shattered regulatory dreams

According to Woofun AI, the US Senate's procedural vote on the Digital Asset Market Clarity Act on Tuesday ended in failure and failed to reach the critical 60-vote pass threshold. Galaxy Digital (BRPHF.US) CEO Mike Novogratz publicly expressed his strong disappointment on the X platform, pointing out that despite 18 months of competition between the industry and the two parties, chaos and stubbornness at the government level still caused this effort to establish a regulatory framework to fail at the last moment.

The crux of the current blocking of legislation is the political impasse caused by moral code provisions. Democrats are adamantly opposed to any provision that could be seen as too permissive of President Trump and his family's financial interests in the digital asset sector due to anti-corruption considerations; while Republicans are concerned about excessively limiting the president's ability to profit from this field.

Notably, after community banks began intense lobbying on stablecoin reward rules, the positions of some Republicans wavered, further weakening the bill's momentum. According to data compiled by Woofun AI, the two parties did not compromise with each other due to the president's conflict of interest, causing other issues that had already reached difficult compromises to come to a standstill. Both sides placed their positions on the long-term development of the industry and the prospects for the US to lead this field.

The deterioration of legislative prospects quickly spread to financial markets, causing severe shocks. Bitcoin's price was around $80,000 before the vote, then plummeted to around $75,625. Crypto-related company stocks such as Coinbase (COIN.US), Robinhood (HOOD.US), and Strategy have continued to decline since Tuesday evening, and the decline continued until today's pre-market. Raymond James (RJF.US) strategist Ed Mills's analysis points out that this is a major short-term setback in the US process of constructing and perfecting cryptocurrency regulations. He stressed that although there is an essential difference between “complete hopelessness” and “almost hopelessness,” the midterm election schedule is clearly not conducive to the progress of the bill. A deeper obstacle is that the Trump family's financial disputes make it difficult for Democrats to separate moral codes from market structure issues, making it much more difficult to reach an agreement before the election.