US Senate to Create Crypto Subcommittee with Lummis as Chair

Highlights:

• Senator Tim Scott leads efforts to create the first-ever crypto subcommittee in the US Senate.
• Lummis, a Bitcoin advocate, is expected to chair the new subcommittee to push regulatory clarity.
• Trump’s Bitcoin reserve proposal faces challenges, while Biden complicates the push with Bitcoin sales.

The US Senate Banking Committee, under the leadership of Senator Tim Scott, is reportedly preparing to establish the first-ever crypto subcommittee. This move is part of ongoing efforts to bring regulatory clarity to the expanding cryptocurrency sector. This news comes less than two weeks before Trump’s inauguration. His administration is likely to begin several pro-crypto regulatory changes after he takes office.

Lummis Set to Chair Crypto Subcommittee

On Jan. 9, FOX Business reporter Eleanor Terrett shared a report stating that Senator Cynthia Lummis is expected to chair the subcommittee. The decision is pending a full committee vote. The vote to approve Cynthia Lummis, along with new Republican and Democratic members—whose selection is still pending—is expected to occur next Thursday.

Lummis, a strong advocate for Bitcoin, has called it “freedom money” and highlighted its ability to protect against inflation and promote financial independence. She previously proposed a plan for the US to acquire a large portion of the total Bitcoin supply. This would involve a 1-million-unit purchase over a set period.

🚨NEW: The Senate Banking Committee, led by @SenatorTimScott, is set to establish its first ever subcommittee dedicated to #crypto. The subcommittee will mirror the @FinancialCmte version established by @PatrickMcHenry in 2023.

A Senate aide confirmed that @SenLummis has been…

— Eleanor Terrett (@EleanorTerrett) January 9, 2025

Lummis stated that establishing a strategic Bitcoin reserve would strengthen the U.S. dollar with a digital hard asset. She argued this would secure the nation’s position as a global financial leader for decades. 

New Crypto Subcommittee to Impact Bitcoin Reserve Efforts

During his election campaign, Trump also proposed creating national Bitcoin reserves. However, achieving this will likely require significant effort in Congress. Recently, the US government revealed plans to sell $6.7 billion worth of Bitcoin seized from the Silk Road. This move appears to be part of President Biden’s strategy to complicate Trump’s push for Bitcoin reserves.

Sheila Warren, the CEO of the Crypto Council for Innovation, remarked:

“Senator Lummis is the perfect choice to chair Senate Banking’s digital asset subcommittee. Not only are she and her team deeply knowledgeable, they’re also pragmatic. And they’re already familiar with both the best and worst of the crypto industry.”

Senator Tim Scott hinted at creating a crypto-focused subcommittee during the Wyoming Blockchain Symposium last August. He suggested it could bring more attention to the conversation. He also proposed holding more hearings on the industry to speed up legislative action. The change comes as Scott replaces Senator Sherrod Brown (D-Ohio), who was more skeptical of cryptocurrency.