Regulators Can Keep Crypto Moving Forward Without CLARITY Act
The cryptocurrency industry may be able to continue moving forward even if the CLARITY Act fails to pass this year, according to Grayscale's Head of Research Zach Pandl. The bill aims to set US rules for digital asset markets, but its passage looks unlikely in 2026 due to a crowded Senate calendar and election-year politics.
Pandl noted that crypto assets operated for roughly 17 years without comprehensive US market structure rules. He believes progress can continue through regulators rather than Congress, particularly around tokenized securities. The Securities and Exchange Commission (SEC) and other regulators are expected to fill gaps through rulemaking, building on previous guidance.
Pandl credited the Trump-era policy for aiding the sector, citing new institutional custody rules, improved access to banking, clearer staking policies, and growth in crypto exchange-traded products (ETPs). He expects these developments to continue without the CLARITY Act's passage. However, he warned that a lack of clear rules at home could lead to more investment activity shifting overseas.
Senate Majority Leader John Thune has filed cloture on the motion to proceed with the bill, setting up a floor vote after lawmakers return on September 15. But even so, analysts have flagged several Senate roadblocks that could sink a possible September vote.