Senate Revises CLARITY Act as 60-Vote Test Looms

The CLARITY Act seeks to create the first comprehensive US market structure for digital assets, defining when tokens should be treated as securities or commodities and dividing oversight between the Securities and Exchange Commission and Commodity Futures Trading Commission. Its significance extends beyond jurisdictional lines: negotiations over stablecoins and decentralized finance could determine whether Congress can deliver durable rules for an industry still operating under fragmented enforcement and guidance.

The Senate majority leader has moved to initiate a procedural vote, positioning the bill for a possible full-chamber vote as early as mid-September. The White House has pledged to push CLARITY across the “finish line” in September, but resistance is mounting. Senator Ruben Gallego has urged colleagues not to rush the measure, Galaxy cut its estimated odds of passage to 10%, and the CFTC and SEC are exploring joint regulatory steps should Congress fail to act.

The US Digital Asset Market Clarity Act, known as the CLARITY Act, seeks to establish a federal framework for crypto markets and clarify oversight between the Securities and Exchange Commission and the Commodity Futures Trading Commission. Bipartisan passage would give digital-asset firms a clearer compliance path in the US, while supporters also view regulated stablecoins as a strategic tool for preserving the dollar’s role in global digital finance.

Coinbase’s head of institutional strategy, John D’Agostino, said bipartisan negotiations have entered their final stage, with industry groups and other stakeholders seeking an agreement before Congress leaves for its August recess. D’Agostino said stablecoins could help sustain the dollar’s international advantage and added that US community banks are increasingly pursuing partnerships with crypto companies, signaling broader engagement between traditional lenders and the digital-asset sector.

The Digital Asset Market Clarity Act, known as the CLARITY Act, is designed to establish a US regulatory framework for crypto markets and clarify oversight between the Securities and Exchange Commission and the Commodity Futures Trading Commission. Its treatment of token issuers, trading platforms and decentralized-finance developers could determine whether the industry gains the legal certainty it has sought, making the bill a central test of bipartisan support for crypto legislation.

Senators are expected to release a consolidated draft as soon as next week, with sponsors seeking Senate consideration by the end of July. Negotiators remain divided over conflict-of-interest provisions and vacancies at key regulatory agencies, while a revised ethics rule would expire in 2029. Law-enforcement officials have also proposed changes as the voting window narrows. A DeFi safe harbor shielding developers who do not control customer assets from custodial liability has secured public backing from Democratic senators.