US Senate Faces Uphill Battle to Pass Crypto Bill Before August Deadline
The US Senate appears to be running out of time to pass the CLARITY Act, a bill aimed at regulating the crypto market structure. A bipartisan group of senators is still trying to negotiate compromises, but it's unclear if they can reach an agreement before the August deadline.
Senate Majority Leader John Thune has expressed doubts about meeting the deadline, suggesting that the Senate might start procedural voting and try to pass the bill in September instead. However, Senator John Kennedy warned that missing the August deadline would make it difficult for the bill to pass before the midterms.
The Republicans have made changes to the 'ethics' issue, but Democrats are still unhappy with the language, which they believe does not go far enough to rein in President Trump's crypto activities. Senator Ruben Gallego described the Republican proposal as 'a piece of shit.'
Goldman Sachs CEO David Solomon expressed support for the bill, saying it provides a level playing field and enhances market stability. However, some senators are concerned about the impact on community banks, which fear that stablecoin rewards could lead to deposit flight.