Senate Blocks Clarity Act: Crypto Companies Seek Regulatory Relief in Limbo
The Senate's failure to advance the CLARITY Act has left crypto companies facing regulatory uncertainty. On September 15, senators rejected cloture on H.R. 3633 by a 49-50 vote, preventing the chamber from moving forward with the bill.
However, Sen. Thom Tillis entered a motion to reconsider, which stalled the measure rather than killing it outright. As a result, attention has shifted toward the SEC and CFTC, which have opened alternative pathways for tokenized stocks and derivatives.
The SEC issued its Innovation Exemption for Tokenized Securities Venues on September 17, giving qualifying venues five years of conditional relief from the Exchange Act's definition of an exchange. This permission allows tokenized National Market System stocks to trade through permissioned automated market makers and liquidity pools, but with trading volume caps and restrictions.