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Weekly Crypto Regulation Roundup: Trump Taps Fed Pick and SEC Issues Tokenization Warning

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Washington’s crypto coverage machine is shifting gears once more.

This week’s regulatory headlines present a well-recognized stress: lawmakers and companies are inching towards clearer guidelines, however the path stays messy, politicized, and deeply intertwined with broader monetary energy struggles.

From a surprise Federal Reserve nomination to contemporary Securities and Exchange Commission (SEC) warnings on tokenization, the week provided a snapshot of the place U.S. crypto regulation is heading in 2026—and what nonetheless stands in the way in which.

Trump’s Fed Pick Indicates a Bitcoin-Friendly Tilt

President Donald Trump confirmed on Friday that he intends to nominate Kevin Warsh as the following chair of the Federal Reserve, changing Jerome Powell when his time period ends in May.

Warsh, a former Fed governor and G20 consultant, is broadly seen as extra open to nontraditional financial frameworks, an element that has drawn consideration from Bitcoin advocates who see the asset as a hedge towards long-term foreign money debasement.

While the Fed chair doesn’t regulate crypto immediately, the appointment may form macro circumstances, market psychology, and the political tone round monetary innovation.

CLARITY Act Moves Forward—Barely

The long-awaited CLARITY Act took a step nearer to actuality after the Senate Agriculture Committee superior its model of the crypto market construction invoice in a slim 12–11 vote.

The laws seeks to shift U.S. oversight away from enforcement-driven ambiguity towards clearer statutory jurisdiction, granting the CFTC major authority over digital commodity spot markets whereas leaving the SEC to control investment-contract gross sales.

But the invoice stays fragile. Senator Roger Marshall agreed to shelve a controversial swipe-fee modification that risked collapsing the markup course of fully, displaying how unrelated monetary lobbying battles can nonetheless derail crypto laws on the final second.

Ripple Finds an Unlikely Ally on the SEC

One of the extra main developments got here from Teresa Goody Guillén, a former SEC lawyer, who submitted public feedback backing Ripple’s argument that hypothesis alone mustn’t mechanically set off securities regulation.

Her place reinforces a rising coverage push to separate the underlying asset from the funding contract—a distinction that would reshape how tokens are labeled in future frameworks.

SEC Draws a Line on Tokenized Securities

The SEC issued one among its clearest statements but on tokenization this week: wrapping a inventory or bond in blockchain infrastructure doesn’t change its authorized identification.

Tokenized securities, regulators careworn, stay securities beneath federal legislation no matter format. As tokenization strikes from pilot initiatives into actual monetary merchandise, the company is saying that “on-chain” doesn’t imply “outdoors the principles.”

White House Steps In as Stablecoin Debate Stalls

With negotiations dragging on, the White House is convening crypto executives, banking leaders, and lobbying teams on February 2 to resolve disputes over the CLARITY Act, notably round how stablecoin curiosity and rewards needs to be handled.

A compromise on the proposal has nonetheless not been reached, regardless of practically two weeks of negotiations, insiders famous. If no settlement is reached by Monday, the assembly is prone to be delayed, they added. The assembly displays how central stablecoins have develop into to the regulatory endgame.

Enforcement Questions After DOJ Unit Shutdown

Six U.S. senators, together with Elizabeth Warren and Richard Durbin, criticized Deputy Attorney General Todd Blanche over his resolution to close down the DOJ’s crypto crime unit whereas reportedly holding private crypto property.

The episode raises uncomfortable questions on enforcement priorities, conflicts of curiosity, and the federal authorities’s dedication to policing illicit finance in digital markets.

Prediction Markets Enter the Spotlight

Finally, the CFTC reveals that platforms like Polymarket and Kalshi could quickly face a clearer rulebook. Chairman Mike Selig mentioned the company helps lawful innovation, however desires extra outlined requirements for occasion contracts as prediction markets explode in quantity.

The Bigger Picture

Taken collectively, this week’s developments counsel the U.S. is shifting nearer to a post-enforcement regulatory period, however solely by political compromise, institutional energy struggles, and growing stress from each Wall Street and crypto-native corporations.

Clarity is coming. But it gained’t arrive cleanly.

The submit Weekly Crypto Regulation Roundup: Trump Taps Fed Pick and SEC Issues Tokenization Warning appeared first on Cryptonews.

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