Senate Majority Leader Chuck Schumer (D-NY) officially announced that Sen. Elizabeth Warren (D-MA) will serve as the top Democrat on the Senate Banking Committee next year. Warren was expected to assume the ranking member role after current Chair Sherrod Brown (D-OH) lost his reelection bid to Republican Bernie Moreno. Sen. Tim Scott (R-SC) will chair the Committee.

Speaking at the Blockchain Association’s policy summit in Washington, D.C., incoming House Financial Services Committee Chair French Hill (R-AR) and incoming Senate Banking Committee Chair Tim Scott (R-SC) told attendees that they are optimistic both chambers can move legislation to codify rules of the road for the crypto industry next Congress. They highlighted the need to prioritize bills establishing a regulatory structure for stablecoins and digital asset markets, while also digging into allegations that bank regulators have unfairly targeted crypto businesses. Scott also stated that he plans to establish a digital assets subcommittee within the Senate Banking Committee.

Sens. Rand Paul (R-KY), Cynthia Lummis (R-WY), and Tim Scott (R-SC) met with incoming White House AI & Crypto Czar David Sacks. Lummis stated that, with Sacks as Crypto Czar, the incoming Trump Administration “will be the most pro-digital asset administration ever.” She added that she looks forward to working with Sacks to pass digital asset legislation and her proposed bill to establish a strategic BTC reserve. Additionally, Scott and Sacks reportedly discussed the need for a regulatory environment for digital assets in order to create jobs and promote economic growth.

Senate Banking Committee Chair Sherrod Brown (D-OH) scrapped plans to vote on SEC Commissioner Caroline Crenshaw’s renomination. An aide for Chair Brown stated that he was confident he had the votes to advance Crenshaw's nomination out of committee, but he ultimately did not see a path for the full Senate to advance it before the end of the year. Sen. Bill Hagerty (R-TN) praised Committee Republicans for blocking the attempt to install an “anti-crypto, climate activist at the SEC.” Crenshaw's renomination drew strong opposition from the crypto industry. Nonprofit advocacy group Stand with Crypto stated that 107,000 emails were sent to senators opposing her renomination over the last week.

House Financial Services Committee Chair Patrick McHenry (R-NC) and Rep. French Hill (R-AR) wrote to Treasury, the Federal Reserve, the SEC, and other financial regulators, warning them against finalizing rulemakings prior to the Trump Administration entering office and demanding the agencies preserve all documents and communications that could be subject to Committee oversight. The letter to the Treasury states, "The Congressional Review Act (CRA) authorizes Congress to disapprove rulemakings, including those finalized toward the end of the Congress. The financial system, its institutions, consumers, and Treasury itself do not benefit from last-minute partisan rulemaking attempts."

Sen. Dick Durbin (D-IL) spoke on the Senate floor about actions needed to protect Americans from BTC ATM scams. He also announced plans to introduce legislation to combat fraudulent BTC ATM schemes, by requiring daily transaction limits for new customers and directing operators to scan for fraudulent transactions. Durbin led letters to ATM operators on the issue in September.

The Senate Banking Committee is scheduled to vote on SEC Commissioner Caroline Crenshaw’s reappointment on Wednesday, December 18, after a planned vote was scrapped last week. Committee Republicans and the crypto industry have opposed her nomination due to her approach to digital assets. The Wednesday vote would leave just two days to get Crenshaw's nomination to a full Senate vote, as Congress is set to adjourn on December 20. Lawmakers are also tackling spending bills and other legislative priorities.

Rep. French Hill (R-AR) said in an interview with CNBC that House Majority Leader Steve Scalise (R-LA) is aiming to introduce a comprehensive crypto market structure bill within the first 100 days of the next Congress. Hill also criticized the current regulatory approach under SEC Chair Gary Gensler. Rep. Hill also said in an interview with Politico that crypto legislation will be one of his top priorities as chair of the House Financial Services Committee, adding that he would like to work with Ranking Member Maxine Waters (D-CA) on a market structure bill. His other priorities include the regulatory burden on community banks and the "misdirected oversight" of the SEC.

The House Republican Steering Committee selected Rep. French Hill (R-AR) to chair the House Financial Services Committee next Congress. Digital assets advocates have lobbied for Hill to get the job since before he formally announced his bid, and Committee Democrats also voiced support for Hill. Hill currently chairs the panel's Subcommittee on Digital Assets, Financial Technology and Inclusion and he has played a crucial role in getting Democrats on board with Republicans' push to enact crypto legislation. Hill will serve across from Ranking Member Maxine Waters (D-CA).