Crypto Legislation Faces Crunch Time as House Cancels Vote Weeks

The CLARITY Act's passage in Congress has hit a roadblock as House Republican leaders cancelled votes for the next two weeks, moving up the chamber's departure from October 1 to September 17. This leaves the crypto market-structure bill with an extremely tight window to pass before the November midterms. The Senate is scheduled to hold its first major procedural vote on September 15, just two days before the House leaves.

This sudden change in plans makes it unlikely for the CLARITY Act to be passed before the midterms, according to Galaxy Digital's Head of Research Alex Thorn. The bill must ultimately match the legislation approved by the House in July, which was passed 294-134. Any version passed by the Senate alone may not be enough.

The House is scheduled to return on September 14 for four voting days before leaving until after the midterms. Senators could potentially work through the required procedure in about a week and a half if everything goes smoothly, depending on amendments, according to Punchbowl News reporter Brendan Pedersen.