Coinbase CEO Foresees Bipartisan Approval of Digital Asset Market Structure Bill by November

Coinbase CEO Brian Armstrong is optimistic that the U.S. Senate will achieve bipartisan support for the Digital Asset Market Structure Bill, potentially paving the way for its passage by November. Armstrong shared this insight during an October 22 interview with CNBC after attending a digital asset roundtable hosted by Senate Democrats. He revealed that key disagreements surrounding the bill have already been addressed, making its formal introduction imminent.

“We had a very productive meeting today with members of both political parties,” Armstrong commented. “There is strong bipartisan commitment to advancing this market structure legislation.” He underscored that discussions on Capitol Hill have gained substantial traction, marking a pivotal step toward more comprehensive regulatory clarity for the cryptocurrency sector.

Targeting Passage Before Thanksgiving with Major Economic Impact

Armstrong pointed out that the Senate has set its sights on passing the legislation before Thanksgiving, believing it could bring transformative benefits reminiscent of the GENIUS Act. Signed into law by former President Donald Trump in July, the GENIUS Act sparked rapid adoption of USD-backed stablecoins, expanding the global influence of the U.S. dollar.

“This bill has the potential to drive economic growth similar to what we saw with the GENIUS Act,” Armstrong explained during the interview. By establishing a balanced market structure for digital assets, the legislation could encourage innovation, bolster institutional trust, and promote broader adoption of cryptocurrencies.

Addressing Concerns Over Proposed DeFi Regulations

Armstrong also addressed industry backlash over a leaked draft of proposed regulations for decentralized finance (DeFi). The leaked document, authored by Democratic lawmakers, suggested stricter controls for DeFi, sparking criticism from cryptocurrency stakeholders.

He criticized these initial proposals as harmful to American innovation. “That leaked draft is a detrimental document not fit for regulatory progress,” Armstrong said, clarifying that Senate Democrats assured him the proposal was not official and unlikely to advance further. He argued that legislative focus should remain on regulating centralized exchanges and custodial institutions instead of interfering with fundamental blockchain protocols.

“DeFi must be treated with care and protected,” Armstrong emphasized. He urged lawmakers to focus on crafting regulations for platforms like Coinbase rather than attempting to impose restrictions on DeFi technologies.

Advancing Clarity: Bipartisan Support for the 'Clarity Act'

Armstrong highlighted important bipartisan progress in the House of Representatives, where the ‘Clarity Act’—a parallel effort to standardize digital asset regulations—has already achieved considerable support. He expressed confidence that similar momentum exists in the Senate, predicting a reconciled, bicameral effort to produce finalized legislation for presidential approval.

“The Clarity Act’s ongoing success in the House signals that bipartisan cooperation on crypto regulation is achievable,” Armstrong stated. Unified support across both chambers could result in transformative legislation that provides transparent guidance for digital assets.

Regulatory Clarity: A Catalyst for Industry Growth

Coinbase has consistently championed the Digital Asset Market Structure Bill, recognizing it as a groundbreaking measure to establish a clear regulatory framework for cryptocurrencies. Armstrong described the bill as a transformative milestone in enabling growth for the digital asset industry and attracting institutional investors. He emphasized its role in setting foundational rules, such as defining digital asset classifications and clarifying jurisdictional boundaries between the Securities and Exchange Commission (SEC) and the Commodity Futures Trading Commission (CFTC).

In Coinbase’s June 2025 monthly outlook report, the company reiterated its belief in the bill’s potential, stating that clearer regulations would act as an essential catalyst for the industry. Armstrong echoed this sentiment, arguing that regulatory transparency would accelerate broader adoption of cryptocurrencies and institutional integration into the market.

While strongly supporting the bill's overall framework, Coinbase remains cautious about specific provisions within the draft, voicing concerns over excessive obligations on protocols and interfaces. Armstrong warned that regulatory overreach could unintentionally stifle innovation or create burdens for decentralized finance operations under the guise of investor protection.

“This legislation needs to strike a delicate balance between fostering growth and ensuring safety for participants,” Armstrong concluded. By achieving this equilibrium, the bill could unlock a new era of development and institutional engagement for the digital asset space.