U.S. Senate Rejects Clarity Act, Crypto Regulation Uncertainty Remains

The U.S. Senate recently rejected the CLARITY Act, a bill aimed at establishing a structure for the crypto market, after a failed procedural vote.

Forty-nine senators voted in favor of ending debate on the bill, but it needed 60 votes to pass and move forward for further consideration.

Coinbase CEO Brian Armstrong called the vote outcome disappointing, but noted that regulatory rules will still emerge from the SEC and CFTC within their existing authorities.

Armstrong also mentioned the GENIUS Act, which sets federal rules for stablecoins, and said that without the CLARITY Act, key issues related to cryptoasset regulation remain unresolved.