The Chief Investment Officer (CIO) of Bitwise, Matt Hougan, has warned of potential challenges for the crypto market in the summer of 2025 if the U.S. Congress does not pass the necessary legislation to regulate digital assets. In his view, despite optimistic forecasts for market growth, delays in Washington could significantly hinder the further development of the crypto industry.
This is reported by Business • Media
“I am increasingly concerned that Congress will drop the ball on the last yard. I am extremely optimistic about the crypto market this year: institutional growth, breakthroughs in blockchain, and improvements in the regulatory climate are creating a strong foundation for a new boom.”
Hougan believes that according to Bitwise’s baseline scenario, the price of Bitcoin could exceed $200,000, and most digital assets will reach new all-time highs. However, he emphasizes that more than just support from the executive branch is needed to ensure sustainable growth.
Additionally, the CIO of Bitwise pointed out the positive changes that occurred during the administration of U.S. President Donald Trump, particularly the establishment of a strategic Bitcoin reserve and the declaration of digital assets as a national priority. He noted that without legislative support, these steps will remain insufficient.
“To ensure the sustainable development of cryptocurrencies, Congress must pass a law that solidifies the progress made. This will also signal that Democrats and Republicans can unite around the crypto industry.”
Hougan paid special attention to the failure of the bill “Guiding and Establishing National Innovation for U.S. Stablecoins” (GENIUS), which was intended to serve as the foundation for the transparent and secure use of stablecoins in the U.S. In March 2025, this legislative initiative was approved by the Senate Banking Committee; however, in May, nine Democrats withdrew their support, citing deficiencies in the document, including inadequate anti-money laundering measures.
“This would have been a triumph for everyone — financial stability for America, new profits for Wall Street, and a strong boost for the dollar.”
Hougan believes that the shift in stance regarding the bill is politically motivated. He noted that the revised text became even stricter on AML/KYC issues, and in his opinion, the reason for this change lies not in the content of the bill, but in the political sentiments regarding Trump’s ratings and his connections to cryptocurrencies.
Meanwhile, another bill is being advanced in the House of Representatives — “Stablecoin Transparency and Accountability for a Better Ledger Economy” (STABLE). Hougan expressed criticism regarding attempts to combine these bills with broader market structure regulation, noting that this could complicate the passage of either of them.
Recall that earlier, Republicans introduced a bill to regulate the crypto market with defined powers for the U.S. Securities and Exchange Commission and the U.S. Commodity Futures Trading Commission.