Senate Advances Negotiations on Clarity Act for Crypto Regulation

Senators are negotiating the Clarity Act to resolve remaining policy disputes before Congress’ monthlong August recess, The Hill reported. The measure seeks to establish a regulatory framework for the digital assets industry. The House version passed in July 2025 alongside the GENIUS Act, which President Trump signed into law.

The GENIUS Act created a regulatory framework for stablecoins. The Senate Agriculture Committee approved its version of the Clarity Act along partisan lines in January 2026. The bill encountered a delay in the Senate Banking Committee over a stablecoin rewards provision before the panel voted to advance it in May 2026.

Democratic Sens. Ruben Gallego of Arizona and Angela Alsobrooks of Maryland supported the measure in committee but stated that their committee votes did not commit them to supporting it on the Senate floor. GOP leadership aims to begin Senate consideration the week of July 20, 2026.

At least seven Democratic votes would be required for passage. One proposal under discussion would allow state attorneys general to sue federal officials who violate ethics provisions or exchanges that list tokens backed by a federal official. President Trump’s financial disclosures released the week before July 11, 2026, showed $1.2 billion in crypto-related income for 2025, including $594 million from World Liberty Financial and $635 million from his meme coins.

Sens. Elizabeth Warren of Massachusetts, Richard Blumenthal of Connecticut, Gary Peters of Michigan, Dick Durbin of Illinois, and Ron Wyden of Oregon said on July 10 that the disclosures heighten concerns about the president advancing crypto legislation. The Major County Sheriffs of America shifted its position on the Clarity Act from concerned to neutral in the week before July 11.