US Regulators Ready to Step Up Oversight on Cryptocurrencies Amid Congressional Stalemate

Congress is under pressure to pass a cryptocurrency regulatory overhaul as federal enforcers prepare to step up oversight if lawmakers fail to reach an agreement.

The Clarity Act, a landmark proposal that would give the Securities and Exchange Commission (SEC) and the Commodity Futures Trading Commission fresh power to regulate digital assets, has stalled in the Senate. With time running out before the chamber's August recess, Majority Leader John Thune (R-S.D.) teed up a vote to proceed to the measure when it returns in mid-September.

Senators adjourned for their break without reaching a compromise on the Clarity Act, which would grant regulators more authority over digital assets. The move is seen as a sign that federal enforcers are ready to intensify oversight if lawmakers can't agree on the bill.