Key Takeaways
- • a16z crypto argues the industry has achieved significant Washington results, led by the GENIUS Act, a federal law governing stablecoin issuance with requirements for issuers and customer protections.
- • Congress overturned the IRS DeFi broker rule last year, the SEC rescinded SAB 121 to remove an accounting obstacle to institutions holding crypto for customers, and FinCEN withdrew the "Unhosted Wallet Rule," per the article.
- • The SEC has proposed a framework for token offerings and rules for safeguarding crypto assets, issued an exemption allowing certain tokenized stocks to trade onchain, and the CFTC has proposed a path for regulating centralized exchanges.
- • The House has passed comprehensive crypto market structure legislation twice with bipartisan support (FIT21 in 2024, Clarity in 2025), but Clarity has not passed the Senate.
- • The author concedes agency proposals and guidance are not final and can be reversed, so the industry is pushing for legislation to provide durable rules.
Summary
Writing on a16z crypto's blog, the author responds to postmortems describing the industry's Washington effort as empty-handed after the Clarity market structure bill failed to pass the Senate. The author acknowledges the setback but argues that commentary omits the broader trajectory: less than three years ago, founders faced basic uncertainty about whether they could legally operate in the U.S. amid SEC enforcement actions against major companies and no workable compliance framework.
The article credits sustained industry advocacy, including policy teams, political operations, and coalitions, with producing results. The most visible is the GENIUS Act, a federal stablecoin law with issuer requirements and customer protections, which the author says is now being implemented by agencies. Other achievements cited include congressional repeal of the IRS DeFi broker rule, the SEC's rescission of SAB 121, and FinCEN's withdrawal of the Unhosted Wallet Rule.
The author also points to proactive agency work: an SEC proposal for token offering fundraising, proposed rules for safeguarding crypto assets, an exemption permitting certain tokenized stocks to trade onchain, a CFTC proposal for regulating centralized exchanges, and SEC and CFTC guidance on how existing law applies to crypto assets.
The author acknowledges limitations: proposed rules are not final, and guidance and exemptions can be altered by future administrations. Legislation such as Clarity is presented as the means to establish durable rules that outlast changes in leadership. The article concludes that the industry's challenge has shifted from whether it can operate in the U.S. to ensuring the progress lasts. The publisher context notes stablecoins recorded $33 trillion in transaction volume over the last 12 months, a figure presented by the publisher and not independently verified in the article.
The article credits sustained industry advocacy, including policy teams, political operations, and coalitions, with producing results. The most visible is the GENIUS Act, a federal stablecoin law with issuer requirements and customer protections, which the author says is now being implemented by agencies. Other achievements cited include congressional repeal of the IRS DeFi broker rule, the SEC's rescission of SAB 121, and FinCEN's withdrawal of the Unhosted Wallet Rule.
The author also points to proactive agency work: an SEC proposal for token offering fundraising, proposed rules for safeguarding crypto assets, an exemption permitting certain tokenized stocks to trade onchain, a CFTC proposal for regulating centralized exchanges, and SEC and CFTC guidance on how existing law applies to crypto assets.
The author acknowledges limitations: proposed rules are not final, and guidance and exemptions can be altered by future administrations. Legislation such as Clarity is presented as the means to establish durable rules that outlast changes in leadership. The article concludes that the industry's challenge has shifted from whether it can operate in the U.S. to ensuring the progress lasts. The publisher context notes stablecoins recorded $33 trillion in transaction volume over the last 12 months, a figure presented by the publisher and not independently verified in the article.
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