US Senate Advances Clarity Act, Paving Way for Crypto Regulatory Framework

US Senate Majority Leader John Thune has filed to advance a key procedural vote on the Clarity Act, paving the way for a full floor vote when the Senate returns from its August recess in mid-September. The move suggests Republican leaders believe they can wrangle the 60 votes needed for the bill to pass, despite continued opposition from Democrats.

The Clarity Act would give the crypto industry its first comprehensive federal rulebook, defining when digital tokens are securities or commodities and which regulators oversee them. Crypto companies say the act is necessary to provide legal clarity for the industry and could potentially boost the adoption of cryptocurrencies.

Passage of the bill would hand President Donald Trump a second major crypto policy win after he signed a bill supporting dollar-backed tokens known as stablecoins into law last year. However, Democrats are opposed due to concerns about potential conflicts of interest, given that Trump's family has profited from its own token ventures.