Block Pushes U.S. Senate for Clarity Act Passage Amid Regulatory Uncertainty

Block, the company founded by billionaire Jack Dorsey, has sent a letter to the U.S. Senate urging passage of the Digital Asset Market Clarity Act (Clarity Act). The bill was passed in the House with a vote of 294-134 in July 2025 and advanced by the Senate Banking Committee in May 2026 with a vote of 15-9.

The bill, which is now on hold due to a crowded agenda, classifies digital assets as 'securities' (regulated by the SEC) and 'digital commodities' (regulated by the CFTC). It also exempts digital commodities on mature blockchains from SEC registration requirements.

Funds are shifting from regulatory uncertainty to a clear framework, benefiting crypto exchanges and payment companies. Traditional financial institutions will benefit from regulatory clarity in the long run, despite being pressured by compliance costs.