The ongoing U.S. government shutdown is already the second-longest in U.S. history, and the longest record could be broken next week. This does not guarantee that the virtual currency bill will actually become law in the near future.
You’re reading State of Crypto, a CoinDesk newsletter that examines the intersection of cryptocurrencies and government. Click here to sign up for future editions.
story
The U.S. government shut down on October 1, 2025 after Congress was unable to reach an agreement to continue funding. The longest shutdown in U.S. history is 35 days, but that record will be broken if the current shutdown continues through Wednesday.
why is it important
Virtual currency-related bills were largely at a standstill even before the government shutdown, but the longer the government shutdown lasts, the bleaker the prospects for the bill’s passage.
break it down
The continued government shutdown means Congress has already missed several self-imposed deadlines for passing legislation, most recently the tentative Oct. 20 deadline for rate hike hearings on the market structure bill. Time is starting to run out to move other bills.
Ron Hammond, director of policy and advocacy at Wintermute, said Congress has priorities beyond cryptocurrencies to address as the year draws to a close, citing the annual National Defense Authorization Act, a must-pass military spending bill, as an example.
However, he said there is still optimism that there will be some movement on the stalled crypto bill in Washington, D.C., near the end of the summer. The next thing to watch may be the Senate Agriculture Committee’s market structure bill. That could indicate the fate of the overall legislative package.
If feedback on the draft is positive, lawmakers could head to a price increase hearing as soon as Thanksgiving and vote soon after.
A complicating factor is the shutdown. The longer the situation drags on, the less time Congress has to deal with these various legislative issues.
Another person familiar with Washington, D.C., politics told CoinDesk on Thursday that there are rumors that Democrats could abandon their demands to secure lower health care premiums in the next week or so because the Trump administration has refused to distribute Supplemental Nutrition Assistance Program benefits to recipients during the government shutdown. On Friday, two federal judges ordered the administration to reinstate benefits regardless.
If that happens, the person also said a price increase could occur by Thanksgiving. But if Democrats are forced to bow to demands for a government shutdown, they may be less willing to compromise on market structure legislation.
Elections will be held again next week, with voters choosing a host of statewide ballot initiatives, legislators, mayors and governors in Virginia and New Jersey.
Tuesday
- 15:00 UTC (10:00 a.m. ET) The Second Circuit Court of Appeals hears Sam Bankman Freed’s team’s appeal of his conviction and 25-year sentence. His case will be heard by a three-judge panel Tuesday for the second time. This hearing should be streamed on the court’s website.
Thursday
- 16:00 UTC (11:00 a.m. ET) Samourai Wallet developers Keonne Rodriguez and William Lonergan Hill will be sentenced in July after pleading guilty to one count each of conspiracy to operate an unauthorized money transfer business.
If you have any thoughts or questions about what we should talk about next week, or any other feedback you would like to share, please feel free to email us. [email protected] Or find me at Bluesky @nikhileshde.bsky.social.
You can also join group conversations on Telegram.
See you next week!