Overview
- Senate negotiators are preparing a merged version of the CLARITY Act that combines Banking and Agriculture committee text and could be released the week of July 20 for possible floor action later in July.
- The bill needs roughly 60 votes to overcome Senate procedure so several Democrats have conditioned support on a binding ethics provision that would restrict senior officials’ business ties to the crypto sector.
- CFTC Chair Michael Selig and Sen. Cynthia Lummis have publicly pressed for quick passage while Sen. Elizabeth Warren and some law‑enforcement voices warn the bill’s DeFi and developer protections could weaken AML and sanctions enforcement.
- Sen. Ron Wyden and industry groups are pushing to keep Section 604, the Blockchain Regulatory Certainty Act, which would clarify non‑custodial developers are not money transmitters, but that language remains contested.
- If negotiators fail to pass a merged bill this month regulators may act unilaterally and legal uncertainty for markets would likely extend into 2027, while prediction markets place enactment odds in the mid‑40% range.