U.S. Senator Cynthia Lummis launched a standalone invoice geared toward defending non-custodial blockchain builders from being categorised as cash transmitters, because the Senate prepares to unveil the long-awaited draft of its broader crypto market construction laws forward of a key markup this week.
The bipartisan proposal, co-sponsored by Senator Ron Wyden, revives the Blockchain Regulatory Certainty Act, clarifying that software program builders, miners, validators, and infrastructure suppliers who don’t management person funds or maintain non-public keys shouldn’t fall beneath federal cash transmission guidelines. The invoice reinforces the precept that “code isn’t custody,” limiting regulatory legal responsibility to entities that really management buyer belongings.
After months of onerous work, we have now bipartisan textual content prepared for Thursday’s markup. I urge my Democrat colleagues: don’t retreat from our progress. The Digital Asset Market Readability Act will present the readability wanted to maintain innovation within the U.S. & shield customers. Let’s do that! pic.twitter.com/fuu5CIQa8X
— Senator Cynthia Lummis (@SenLummis) January 13, 2026
Standalone Invoice Highlights Developer Protections
The transfer comes amid intense last-minute negotiations over the Senate’s complete Digital Asset Market Readability Act, anticipated to be finalized and made public as early as Tuesday, with a Senate Banking Committee markup scheduled for Thursday. Whereas earlier drafts of the market construction invoice included comparable developer protections, that language has remained a degree of rivalry throughout negotiations.
“It’s time to cease treating software program builders like banks just because they write code,” Lummis mentioned, emphasizing rising concern that current enforcement actions threat criminalizing open-source software program improvement.
Business advocates be aware that the standalone invoice is meant to reveal bipartisan assist for shielding non-custodial builders, whilst uncertainty stays over whether or not the availability will survive within the broader market construction package deal. The Blockchain Regulatory Certainty Act initially originated within the Home earlier than being included into Senate discussions, and the brand new Senate model mirrors that earlier Home language.
Stablecoin Yield Restrictions Could Favor Banks
The newest leaked draft of the Readability Act (web page 189) contains provisions limiting corporations from paying curiosity solely on stablecoin balances. Customers should earn rewards, however solely by taking particular actions, comparable to buying and selling, staking, offering liquidity or collateral, or taking part in governance. Crypto journalist Eleanor Terrett famous that banks could have gained the higher hand in negotiations on stablecoin yields. Senators have 48 hours to submit amendments, leaving it unclear whether or not the foundations will stay unchanged in Thursday’s markup.
NEW: Yield replace: Banks could have gained this spherical on stablecoin yield. The newest draft (web page 189) says corporations can’t pay curiosity only for holding balances. You’ll be able to earn rewards, however provided that they’re tied to opening an account or exercise like making transactions, staking,… https://t.co/Df3u3Ar3cM
— Eleanor Terrett (@EleanorTerrett) January 13, 2026
The Senate Banking Committee is ready to evaluate the finalized draft Thursday, whereas the Senate Agriculture Committee has delayed its markup to the tip of the month to permit extra time for bipartisan compromise. The end result may form U.S. crypto regulation and the DeFi ecosystem for years to return.
Bitcoin traded flat close to $92,000 following the developments, whereas broader crypto markets confirmed little fast response. Analysts say the end result of Thursday’s markup may have lasting implications for DeFi innovation and institutional participation in U.S. crypto markets.
The submit US Lawmakers Introduce Standalone Invoice to Shield Blockchain Builders Forward of Broader Crypto Laws appeared first on Cryptonews.