Market Structure Bill: ‘Floodgates Open’ for Bitcoin Capital Inflows
In a post on April 15, Dennis Porter asserted that the Cryptocurrency Markets Bill – if signed into law – would be a “huge boon” for Bitcoin, as it could open the floodgates to institutional capital that has previously been hesitant due to a lack of clear regulatory framework.
“Once passed, the floodgates will be wide open. The floodgates will be unlike anything you’ve ever seen. I’m extremely bullish on Bitcoin,” Porter wrote on the X platform (formerly Twitter).
The comments came after Senator Tim Scott, chairman of the Senate Banking Committee, said the US government is aiming to finalize the bill by August 2025.
Dennis Porter also reiterated this timeframe expectation when asked about the actual rollout:
“The White House wants it done by August. Let’s see,” he added.
BTC rebounds sharply, nears $86,000
At the time of writing, Bitcoin (BTC) is up 1.4% over the past 24 hours, hitting $85,815 after hitting a daily high of $85,903 just hours earlier. Over the past 7 days, BTC has gained more than 8%, indicating that bullish sentiment is returning to the market.
Bill could change the legal landscape for cryptocurrencies
The Cryptocurrency Market Structure Act – widely referred to as the “cryptocurrency market bill” – aims to establish a comprehensive legal framework for digital assets in the United States.
A few points to note:
Clear custody:
Tokens that are considered securities will fall under the jurisdiction of the SEC.
Tokens classified as commodities will be regulated by the CFTC.
Establish new registration categories for crypto intermediaries such as exchanges, brokers, and custodians.
A clear regulatory framework will remove much of the regulatory ambiguity that has kept many institutional investors from entering the market. A large-scale inflow of capital from financial institutions could propel the market into a strong bull run, especially for Bitcoin – the market leader with a limited supply.
Surge in institutional demand could push BTC to new heights
If the bill passes, it will not only bring new institutional money into the market but also promote wider adoption by the traditional financial ecosystem. Coupled with a limited supply (only 21 million BTC), any major jump in demand could send Bitcoin prices to record highs in the near term.
