For years, Washington was considered hostile territory for the cryptocurrency industry. Regulatory crackdowns, lawsuits and policy uncertainty drove many builders overseas and left advocates fighting uphill battles on Capitol Hill.
But as Kristin Smith, president of the Solana Policy Institute, explains in the latest episode of the Clear Crypto Podcast, the tide has turned in a dramatic way.
Smith, a longtime policy leader in Washington and former CEO of the Blockchain Association, joined hosts Nathan Jeffay and Gareth Jenkinson to unpack the shifting US regulatory environment.
What was once a fragmented and defensive industry has transformed into one of the most coordinated and effective political movements in recent memory.
“At least in the United States, [there was] an all-out assault on crypto, primarily using the securities laws to create confusion and drive builders overseas,” she said.
“But if you look at where we were… Crypto has survived and now thrived. And I think it’s going to expand the marketplace to levels we have only been able to imagine to this point.”
At the heart of this transformation is the recently signed GENIUS Act, landmark legislation that establishes a federal framework for dollar-backed stablecoins. Smith describes the law as not only a victory for the industry but also a validation of blockchain’s role in the US economy.
“It’s really important not just for stablecoins, but for the underlying blockchains upon which the stablecoins are minted,” she said.
“Going forward, if we have so much value being traded on these rails, then the government cannot come and attack those rails. It will just be politically untenable.”
The episode also highlights how lobbying has matured within the space. From just a handful of policy advocates in 2017 to hundreds today, crypto has built a presence in Washington that rivals more traditional industries. Smith noted:
“We went from having companies that did not want to engage in Washington…to having the absolutely largest super PAC out there. It’s a real political movement.”
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The Solana Policy Institute plays a unique role in this ecosystem, representing an entire blockchain network rather than a single company.
By amplifying the perspectives of Solana developers, builders and users, SPI is writing a new playbook for how decentralized communities can engage with regulators.
Still, Smith says this isn’t about protecting incumbents. Crypto’s advocates are motivated by a belief in creating a fairer, more open financial system, one where people have ownership of their assets and can transact without unnecessary intermediaries.
To hear the complete conversation on the Clear Crypto Podcast, listen to the full episode on Cointelegraph’s Podcasts page, Apple Podcasts or Spotify. And don’t forget to check out Cointelegraph’s full lineup of other shows!
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