The CLARITY Act bill, which is intended to establish comprehensive rules for the digital asset market in the U.S., has reached one of its most important stages. On May 14, the Senate Banking Committee will hold a markup session—a procedure for discussing and amending the document before it may advance further in Congress.
An unusual situation is forming around the bill. Despite heated debates in recent months, CLARITY is gradually gaining support not only among Republicans but also some Democrats.
Congress Tries to Define the Future of the Crypto Market
CLARITY is considered one of the most important bills for the American crypto industry in recent years. The document is meant to define what powers the SEC and CFTC will receive, how tokens, DeFi, and stablecoins will be regulated, and where the boundary lies between securities and digital commodities.
The House of Representatives approved the bill back in the summer of 2025, but the process in the Senate has dragged on for nearly a year. The main reason was conflicts between the banking sector and crypto companies over stablecoin yields. Now, it seems, the parties have reached a compromise.
Republicans Almost Fully Support the Bill
A solid bloc of CLARITY supporters has formed among Republicans in the Senate Banking Committee. These include Committee Chair Tim Scott, Cynthia Lummis, Thom Tillis, Bill Hagerty, Mike Rounds, and several other senators.
Most of them had previously supported the GENIUS Act, stablecoin initiatives, and easing restrictions on banks working with digital assets.
Tim Scott has openly stated that the U.S. should become the ‘world capital of cryptocurrencies.’ Cynthia Lummis is simultaneously advancing separate initiatives to protect miners and DeFi developers.
For Republicans, the crypto market is gradually becoming not only a financial issue but also an element of technological competition with other countries.
Some Democrats Are Ready to Support the Document
The most important change in recent weeks has been the position of moderate Democrats. Senators Angela Alsobrooks and Ruben Gallego are participating in negotiations on the final version of the bill and are considered constructive participants in the process.
It was Alsobrooks, together with Thom Tillis, who helped reach an agreement on the controversial issue of rewards for stablecoin holders.
In the final version, the law limits passive interest payments similar to bank deposits but allows other incentive models. This became one of the main compromises that allowed the bill to return to discussion.
Elizabeth Warren Remains the Main Opponent
At the same time, resistance within the Democratic Party has not disappeared.
Senator Elizabeth Warren continues to actively oppose CLARITY. She calls the bill a ‘corruption superhighway’ and demands stricter rules to combat money laundering and conflicts of interest.
Warren is also advancing separate initiatives against DeFi and anonymous crypto services. Her position is supported by Jack Reed, Chris Van Hollen, and Tina Smith.
The main argument of opponents is that overly lenient regulation could create risks for the financial system and increase the influence of large crypto companies on politics.
Several Senators Have Not Yet Decided
A separate group of Democrats is taking a more cautious stance. Mark Warner, Catherine Cortez Masto, Andy Kim, and Raphael Warnock are considered potential undecided votes on CLARITY.
They support the idea of regulating the crypto market but at the same time demand stronger measures against illegal financial operations. Their votes could prove decisive in the final advancement of the document.
Crypto Industry Increases Pressure
For the market, this bill is of great importance. The industry expects that CLARITY will finally create clearer rules for exchanges, stablecoins, DeFi, and tokenized assets.
Against this backdrop, Coinbase, a16z, and other major players continue to actively support the document through lobbyists and political committees.
According to the National Cryptocurrency Association, about 20% of Americans already own cryptocurrencies. More than half of holders use digital assets as a long-term investment.
What Is Next?
The Banking Committee meeting will be only an intermediate step. After the discussion, the document will still need to pass a Senate vote, possible reconciliation with the House of Representatives, and final approval.
But the very fact that CLARITY is moving forward again after months of debate is already seen by the market as an important signal. For the crypto industry, this could become the first comprehensive federal regulation in the sector’s history in the U.S.
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