Clarity Act fails procedural vote in U.S. Senate
CIE News ·
The U.S. Senate blocked the Clarity Act after a 49-50 procedural vote fell short of the 60 votes required to advance, stalling efforts to establish a regulatory framework for digital assets.
The Clarity Act failed a key procedural vote in the U.S. Senate, drawing 49 votes in favor and 50 against. The measure required 60 votes to advance. According to CoinDesk, negotiations broke down over proposed ethics limits regarding the crypto business holdings of senior officials, including President Donald Trump, as well as debates over illicit finance and investor protection.
With little legislative time remaining ahead of the November midterm elections, the vote significantly lowers the prospects of the bill passing in 2026. The legislation was designed to define regulatory boundaries for digital assets between the Securities and Exchange Commission (SEC) and the Commodity Futures Trading Commission (CFTC).
Despite the legislative stall, financial institutions told CoinDesk they do not foresee a complete halt in crypto mergers and acquisitions. Following the vote, the SEC granted a temporary Innovation Exemption allowing limited trading of tokenized U.S. stocks on select onchain platforms, and on October 1 proposed a rule regarding how investment firms custody digital assets.