The 119th Congress will be led by Senate Majority Leader Sen. John Thune (R-S.D.), who backs crypto-focused legislation. On Wednesday, a private GOP vote saw Thune succeed Sen. Mitch McConnell and lead the Senate in a new direction next year. Thune’s election may signify a crypto pro momentum: His advocacy for regulatory clarity in digital assets.
He’s also been working for crypto in his past terms, backing crypto-backed bills like the 2022 Digital Commodities Consumer Protection Act (DCCPA). It had been an effort to pass a well-defined regulatory framework under the Commodity Futures Trading Commission (CFTC) for digital commodities, introduced by Senators Cory Booker (D-N.J.), Debbie Stabenow (D-Mich.), and John Boozman (R-Ark.). Thune and his colleagues said by supporting this bill, they wanted to define some parameters for digital asset markets to protect investors and to encourage innovation.
Besides his pro-crypto stance, Thune has stood against regulatory measures that he and other advocates see as stringent. In May, for example, he voted to overturn the SEC’s Staff Accounting Bulletin No. 121 (SAB 121), which calls on companies that provide crypto asset services to account for them as liabilities. But Thune sided with Senate top leaders Chuck Schumer and Cory Booker in opposing this policy as part of a more significant effort to ease crypto regulation and loosen up money service regulations. This allows crypto custody services to stay out of the way.
John Thune Secures Senate Leader Role in Close Vote
Also, during his run for Majority Leader, Thune’s history of supporting the crypto industry with balanced regulatory measures drew attention. However, as a global investor, he has made public calls for a middle ground where market growth and investor protection coexist. With crypto becoming a part of financial markets and eventually mainstream acceptance, he could lead crypto legislation in the new Congress to get renewed focus.
Sen. Stabenow, the chairman of the Senate Agriculture Committee, pointed to the potential reach of Thune’s proposed DCCPA bill, noting it might have restrained alleged wrongdoing by FTX, the crypto exchange that collapsed in a fraud mess. Many lawmakers pushing for more structured oversight are on the same side as Thune regarding regulatory clarity for crypto assets to avoid a repeat of such crises. His colleagues see an opportunity for meaningful crypto policy to evolve if Thune continues to lead on prior legislation.
Thune’s opponent, Sen. John Cornyn of Texas, fought hard, but Thune took the job with 29-24 vote on a second round ballot. Sen. Rick Scott of Florida was also thrown out in the earlier round, a sign of broad support among GOP members for Thune’s balanced approach to regulation and party purposes. Thune thanked his Senate colleagues for trusting him once he was elected.
Thune’s Leadership Boosts GOP Crypto Momentum
But Thune’s rise and the GOP’s recent Senate victories in the midterm elections helped secure his majority leadership role. Republicans will take over leadership responsibilities in January when they win control of the Senate. As Democrats move to the minority, they will hold their leadership elections in early December.
Despite several of his allies supporting Scott, President-elect Donald Trump did not endorse a GOP leadership candidate. Along with these VIP supporters, including Elon Musk, Tucker Carlson, and Robert F. Kennedy Jr., who all championed a more conservative GOP candidate, it included. Thune had his congratulations from the current Senate Majority Leader Chuck Schumer, who had also earlier this year thanked Republicans’ involvement in enacting some of the most significant legislation of his career.
Thune’s stance might also seem promising for crypto legislation, as he recently authored a series of legislative bills. On the one hand, he supported the development of clear regulatory definitions for digital commodities and market growth tied to the absence of restrictive accounting policies; on the other hand, he argued that investors need adequate protection when trading digital commodities. He shares a vision to adjust financial legislation for a fast-changing digital world.
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