The CLARITY Act moved closer to becoming law on Thursday after securing enough support in the U.S. Senate Banking Committee to advance the long-debated crypto market structure bill.
The committee is scheduled to vote on the legislation after months of negotiations between lawmakers, regulators, and crypto industry leaders. If approved, the bill will move to further Senate discussions before a possible full floor vote. President Donald Trump has reportedly pushed for the legislation to reach his desk before July 4.
🚨NEW: Negotiations between a small group of bipartisan senators aimed at getting Democrats to a better place on at least two outstanding Clarity Act issues wrapped for the night without a deal, I’m told. In a statement, one of the lead GOP negotiators, @SenLummis, said:…
— Eleanor Terrett (@EleanorTerrett) May 14, 2026
Senate progress and key concerns
Senator Cynthia Lummis, one of the bill’s leading Republican supporters, said lawmakers had resolved most disagreements but were still working through a few remaining issues. She warned that delays in passing crypto regulations could leave the industry vulnerable to another major collapse similar to FTX.
Negotiations stalled mainly over Democratic concerns tied to ethics provisions involving the First Family. They proposed changes to the Blockchain Regulatory Certainty Act (BRCA) to protect non-custodial software developers from being classified as money transmitters.
Despite the disagreements, Republican lawmakers on the committee maintained enough support to keep the bill moving forward.
Coinbase, Fidelity and Ripple push for passage
Major crypto and financial firms increased pressure on lawmakers ahead of the vote, calling the CLARITY Act a necessary step for the future of digital assets in the United States.
Coinbase CEO Brian Armstrong described the bill as a strong framework that could make financial services faster, cheaper, and more accessible. He also said clear crypto rules would help the U.S. remain competitive in the global digital asset market.
Fidelity Investments, which manages more than $7 trillion in assets, praised the Senate Banking Committee for advancing what it called a balanced regulatory approach for crypto markets.
Meanwhile, Ripple CEO Brad Garlinghouse said millions of Americans already use crypto and deserve the same protections as those in traditional financial markets.
Why the CLARITY Act matters for the crypto industry
The CLARITY Act is designed to establish clear rules for digital assets, define oversight responsibilities between regulators, and create legal certainty for crypto companies operating in the United States.
Supporters believe the legislation could reduce regulatory confusion that has pushed some blockchain firms and crypto startups overseas in recent years. Senator Dave McCormick said every delay in passing the bill risks driving digital asset innovation and investment outside the country.
The debate also comes as lawmakers review more than 100 proposed amendments, including measures backed by Senator Elizabeth Warren targeting banking access for crypto firms.
Industry groups such as the DeFi Education Fund have urged supporters to oppose amendments they believe could negatively affect decentralized finance developers and users.
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