Many U.S. federal employees have been on furlough, while others continue to have no salaries as lawmakers fail to fund the government last week’s parking measures, and work shutdowns are expected to continue.
As of Monday morning, there was no reported agreement between the Republican Party and members of the U.S. Congress to stop closures and return to normal operations, including activities in financial regulators such as the Securities and Exchange Commission and the Commodity Futures Trading Commission (CFTC).
The Senate plans to provide the administration with a continuing resolution vote at 5:30 p.m. ET, but at the time of release it was unclear whether the measure had enough support to pass.
The crux of the Democratic stance in the budget deadlock is health care, with lawmakers demanding that any spending bill include removing cuts from the budget measures in July.
Regarding the impact on the digital asset industry, the Securities and Exchange Commission (SEC) said it will run “under revised conditions” in “very limited staff” until a funding bill passed, limiting its ability to review fund applications traded by cryptocurrency exchanges. The CFTC has only one commissioner currently serving as acting chair and has limited staff.
“The U.S. government shutdown (…) could undermine the SEC and CFTC that are critical to the global digital asset market, which is crucial to the global digital asset market,” Przemysław Kral, CEO of cryptocurrency exchange ZondAcrypto, said in a statement with CoIntelegraph.
“While it seems that the direct impact is included, the risk of their reduced operational capabilities reduces innovation and reduces investor confidence, especially in an area that has been catching up with crypto regulations,” Klar said.
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Until the administration returns to normal operations, it is unlikely that the Senate will consider a bill to build a digital asset market structure, nor will U.S. President Donald Trump nominate a replacement for CFTC commissioners.
The White House withdraws Brian Quintenz’s nomination last week as CFTC chair for reporting on the pushbacks of Gemini co-founders Cameron and Tyler Winklevoss, both of whom are donors and supporters of Trump.
Encrypted users are betting on long-term shutdown
Various bets on platforms such as Kalshi and Polymarket show that many users have predicted long but long historical closures. Trump held a 35-day government closure record during his first term as he pushed for the construction of the U.S.-Mexico border wall.
On Kalshi, the bet for closing time predicts a 69% chance of its duration of more than 15 days, with 41% of which are over 25 days. Polymarket gave users a 24% chance at launch, that the current closure will be the longest in U.S. history, but the chance after October 15 will reach 72% chance.
The closure entered the sixth day after raising funds on midnight on September 30.
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