Legislative Stalemate on Crypto Clarity Act
The Crypto Clarity Act, which passed the House over a year ago and cleared the Senate Banking Committee in May, has stalled ahead of a full floor vote. Bipartisan senators are reportedly working to toughen provisions around digital asset limits in response to Trump administration input, seeking a compromise that can secure sufficient votes. Republican Senator Cynthia Lummis has publicly criticized Democratic lawmakers for delaying the bill's passage, while a Democratic senator has expressed support for the legislation contingent on inclusion of law enforcement safeguards.
Industry groups and major crypto firms have intensified advocacy for passage. The Banking Lobby CEO has weighed in on the bill's status, and Digital Currency Group warned the Senate that failure to pass the Clarity Act could result in competitive disadvantage relative to crypto-friendly jurisdictions including Singapore and the United Arab Emirates.
SEC Chair Atkins has signaled the agency stands ready to provide regulatory guidance on crypto matters should the Clarity Act fail to advance, indicating the regulator is prepared to fill any legislative vacuum through enforcement discretion.
