U.S. Clarity Act Talks Collapse, Leaving Crypto Rules Up in Air

The U.S. Clarity Act has collapsed after months of negotiations between lawmakers, leaving the oversight of digital assets and market rules unresolved.

The legislation aimed to define the treatment of digital assets at the federal level, but its collapse leaves the SEC and CFTC without a new statutory framework for resolving which agency should oversee parts of the market.

Lawmakers remained divided over how to classify NFTs, decentralized finance protocols, and stablecoins, ultimately preventing a final compromise and keeping the measure from reaching a final vote.