Sources: House Democrats are discussing a broader crypto market structure bill

House Democrats are discussing expanding Rep. Maxine Waters’ 2025 Crypto Investor and Consumer Protection Act into a broader crypto market-structure bill for the next Congress, according to three industry sources who spoke with Democratic staff. The plan would fold in provisions from Waters’ earlier, unadopted CLARITY Act as well as elements that Senate Democrats and Republicans had agreed on before a September cloture vote was halted. The emerging framework would expand the SEC’s role in overseeing crypto markets while limiting the CFTC’s authority, and could add ethics rules restricting crypto activity by President Trump and other federal officials. Republicans have dismissed the effort as a “messaging bill.” The discussions signal that Democrats want a comprehensive market-structure alternative rather than piecemeal fixes, and the key thing to watch is whether the package draws Republican support and advances in the next congressional session.