Clarity Act Hits Roadblock in Senate as Procedural Vote Looms
The Clarity Act is facing a difficult test in the Senate as it approaches its procedural vote on September 15. The bill, which aims to create a federal framework for digital asset market structure, has been met with growing resistance from senators.
A central dispute between Democrats and Republicans centers around ethics restrictions, with Democrats pushing for stronger rules governing presidential and family crypto interests. The White House previously supported adding restrictions for federal officials, but Democrats are seeking more stringent measures.
Senate Banking Committee Chairman Tim Scott released revised text in May, following negotiations with lawmakers, regulators, law enforcement, financial institutions, and consumer groups. However, the bill's progress has been hindered by floor procedure, which requires a three-fifths majority to invoke cloture.
Crypto groups have increased pressure on lawmakers ahead of the vote, with the Cedar Innovation Foundation planning a seven-figure national advertising campaign in support of the legislation.