Senate Banking Committee Advances CLARITY Act in Bipartisan Vote
The U.S. Senate Banking Committee approved the CLARITY Act, moving the crypto market structure legislation a step closer to a full Senate vote. The bill passed with support from Republicans and two Democrats, Sens. Ruben Gallego and Angela Alsobrooks, according to reports.
The measure now heads to the Senate floor, where it will need at least 60 votes to advance. That implies backing from at least seven Senate Democrats.
Industry leaders and regulators welcomed the committee action. Coinbase CEO Brian Armstrong called it an "historic day," pointing to what he described as substantial changes since January across areas including stablecoin rewards, DeFi, CeFi and tokenization. Armstrong said Coinbase opposed earlier drafts and argued the pushback helped improve the final committee version.
Ondo Finance also hailed the vote as a milestone for tokenization, saying clearer rules for tokenized assets could help bring in more institutional participation. SEC Chair Paul Atkins publicly congratulated the committee's leadership, and CFTC Chair Mike Selig said the vote moves the U.S. closer to becoming a global "crypto capital."
Markets reacted positively. Bitcoin rose nearly 3% and moved back above $81,000, with broader crypto prices also higher.
Despite the momentum, the bill faces key hurdles. Democrats are pressing for an ethics provision that would bar senior government officials from profiting from crypto while in office, a clause that could affect President Trump and his family given their reported involvement in multiple crypto projects. Republicans and the White House have opposed such language in the past, but sponsors may need a compromise to secure the votes required for passage.
Gallego and Alsobrooks backed the bill in committee while negotiations over an ethics clause continue. Gallego warned he could oppose the bill later without stronger guardrails for elected officials.
Sen. Elizabeth Warren reiterated her opposition, arguing the legislation could pose broader economic risks.
Separately, some crypto advocates are urging lawmakers not to weaken developer protections tied to the Blockchain Regulatory Certainty Act (BRCA), included in Section 301 of the CLARITY Act. Advocacy group Coin Center said those protections are essential for the future of DeFi and should not be traded away in negotiations.
