CLARITY Act Delayed: Crypto Market Structure Push Hits Roadblock

The long-awaited CLARITY Act has hit another snag as it appears unlikely to receive a Senate vote before the August recess. Despite its passage through the House, the bill remains stuck in the upper chamber due to unresolved disputes over ethics provisions, which would prevent public officials from holding or profiting from digital asset transactions.

These disagreements have slowed down the progress of the bill, formally listed as H.R. 3633, the Digital Asset Market Clarity Act of 2025. Senate Majority Leader John Thune's reported comments indicate that a vote before August may not happen, pushing back the timeline for market structure clarity in the digital asset space.

The delay is significant for crypto firms waiting on clearer rules, which would define how exchanges, issuers, brokers, custodians, and regulators interact. The CLARITY Act aims to clean up the fragmented system created by multiple agencies' involvement in digital assets, from securities to commodities, exchanges, and custody.

Although the bill is not dead, its delay highlights the challenges in achieving legislative clarity for the US crypto industry. Ethics provisions remain a contentious issue, with some lawmakers pushing for stricter rules while others view them as unrelated to market structure or even targeted at specific groups.