I just reviewed a very interesting analysis from Benchmark on how the delay in passing the U.S. cryptocurrency market structure bill is limiting valuations. To understand what Benchmark is in this context, we’re talking about a Wall Street brokerage with analysts specialized in digital assets who continuously monitor these regulatory issues.

The key point raised by analyst Mark Palmer is that without legislative clarity, U.S. cryptocurrencies will continue to carry a heavy regulatory risk premium. This means the market remains structurally constrained just as global adoption and institutional interest are accelerating elsewhere.

What’s interesting is how this affects different segments differently. Bitcoin and infrastructure are relatively protected because they already have established status as commodities. Miners and treasury-focused Bitcoin companies are also in a better position. But here’s where it gets complicated: exchanges, DeFi, and altcoins will fall behind as long as regulatory uncertainty persists.

Palmer notes that markets are already discounting this temporary risk. Without legislation, exchanges would face higher compliance costs, limitations on expanding higher-margin products, and stablecoins would struggle to monetize. DeFi platforms remain the most vulnerable because regulatory ambiguity continues to limit U.S. participation.

What’s curious is that Palmer still considers it more likely than unlikely that the bill will pass, although the time risk is increasing. Negotiations in the Senate have been slower and more controversial than in the House. If it’s not approved this year, the U.S. crypto market wouldn’t revert to the strict enforcement environment of 2022-2023, but it would continue operating below its potential.

In terms of price, Bitcoin remains around $71.57K, reflecting this uncertainty but also the asset’s resilience. What I observe is that investors prefer exposure focused on Bitcoin, solid balances, and cash-flow-generating infrastructure over more regulation-sensitive segments.

This Benchmark analysis gives you a good perspective on why some crypto assets perform better than others in this uncertain regulatory environment. If you’re interested in tracking Bitcoin and other assets in this context, Gate has quite useful tools to monitor these market dynamics.