Senator Kennedy to crypto lobby: cool, but wrong hearing 🎤

The Digital Chamber's chief executive, Cody Carbone, told a Senate Banking Committee hearing on Tuesday that the digital asset industry could ease U.S. affordability pressures through faster, cheaper transactions and lower barriers to "owning and transferring assets." The session, titled "The Affordability Agenda," drew limited engagement from lawmakers on crypto matters, with only Indiana Senator Tim Banks and Louisiana Senator John Kennedy questioning Carbone directly. Banks pressed the Digital Chamber CEO on the cost of foreign remittances compared with U.S. dollar-pegged stablecoins, while Kennedy brushed off the broader pitch. "Mr. Carbone, you seem to be here to promote cryptocurrency," Kennedy said. "I love cryptocurrency, but I don't think that's the problem with our economy."

Carbone's testimony focused on advancing the Digital Asset Market Clarity (CLARITY) Act, which the banking committee advanced in May. The full chamber is expected to vote on the legislation in the coming weeks, though some lawmakers are pushing for added ethics provisions that could complicate passage in the Senate. Beyond ethics concerns, gambling industry groups last week urged senators to clarify that the bill would not grant the U.S. Commodity Futures Trading Commission authority over sports betting on prediction-market platforms.

The CFTC, under Chair Michael Selig, has asserted "exclusive jurisdiction" over venues such as Kalshi and Polymarket. Some lawmakers still expect the CLARITY Act to clear the Senate before the chamber's August recess, though no floor vote had been scheduled as of Tuesday.