Several individuals familiar with the negotiations told CoinDesk that lawmakers could release a new version of the Digital Asset Market Clarity Act this week, although several key obstacles remain before the legislation can advance.
Reports claiming the Clarity Act is effectively finished appear to be exaggerated. The bill is still moving through the legislative process, but the crypto industry has yet to clear several major hurdles before it can become law.
The legislation remains one of the most closely watched crypto policy efforts in Washington, as lawmakers work to establish a clearer regulatory framework for digital assets.
Revised Clarity Act Draft Expected Soon
Sources familiar with the discussions said lawmakers are preparing an updated draft that will combine the versions previously approved by the Senate Banking and Agriculture Committees.
The revised text follows negotiations between the two committees as lawmakers attempt to reconcile differences between their respective proposals.
While releasing a new draft would mark progress, it does not necessarily mean the bill is ready for a Senate vote. Remaining disagreements over important provisions still need to be addressed before lawmakers can move forward.
Unresolved Issues Continue to Challenge Progress
CoinDesk previously reported that a new version of the Clarity Act was expected to circulate this week. Sources said the updated draft could add approximately 70 pages of new material while merging the committee-approved versions.
However, the proposal is not expected to include an ethics provision or fully resolve some of the most controversial points still under discussion. Without those agreements, the legislation may not yet have enough support to move toward approval.
The timeline is becoming increasingly urgent, as lawmakers have limited time to move the bill through Congress and onto the president’s desk in 2026.
Senate Approval Requires Bipartisan Backing
The next major milestone could be a Senate floor vote. John Thune previously said he was prepared to bring the bill forward in July, with speculation pointing to possible consideration during the weeks of July 20 or July 27.
To pass the Senate, supporters would likely need at least 60 votes. That means several Democrats would need to support the legislation, with the number increasing if any Republicans oppose the bill or are unable to participate.
Crypto advocacy organizations are expected to monitor the vote closely, while industry groups will likely highlight the significant funding available through crypto-focused political action committees.
However, the approaching 2026 midterm elections could complicate negotiations. Lawmakers will soon return home for the summer recess before entering the final campaign period, where they will face pressure from voters and political opponents.
Ethics Debate Could Determine Democratic Support
Donald Trump and his relationship with the crypto industry are likely to influence the debate surrounding the bill.
A major sticking point is whether the legislation includes an ethics provision addressing concerns among Democratic lawmakers. One source told CoinDesk that failing to include language addressing the issue could make bipartisan support significantly harder to achieve.
Several sources said the White House has appeared less engaged in recent negotiations compared with earlier in the summer. Another source suggested the administration may simply be waiting until lawmakers resolve other outstanding issues before becoming more involved.
CBDC Issue May No Longer Block Negotiations
One potential complication appears to have been removed from the discussion. Some industry participants had worried that lawmakers might attempt to add a prohibition on a U.S. central bank digital currency to the Clarity Act, further complicating negotiations.
However, a separate housing bill includes a provision preventing the Federal Reserve System from issuing a CBDC for at least four years.
If that measure takes effect, the CBDC debate would effectively be delayed until 2030, allowing lawmakers to focus on unresolved issues surrounding crypto market structure.
Crypto Policy Schedule Ahead
Tuesday
- Fed Chair Kevin Warsh is scheduled to testify before the House Financial Services Committee.
Wednesday
- The Senate Select Committee on Intelligence will hold a hearing on Jay Clayton’s nomination for Director of National Intelligence.
- Kevin Warsh will testify before the Senate Banking Committee.
- The House Financial Services Committee will hold a hearing focused on the Consumer Financial Protection Bureau.
Thursday
- The Senate Banking Committee will conduct another hearing on the Consumer Financial Protection Bureau.
Friday
- The House Financial Services Committee’s digital assets subcommittee will hold a hearing in New York focused on the Clarity Act.
The release of the updated draft could provide an important indication of whether lawmakers are close to a compromise or whether unresolved political disagreements will continue delaying the legislation.
