Senate Banking Committee Delays Markup of Key Crypto Bill as Industry Support Frays
The Senate Banking Committee has postponed its markup of the bipartisan CLARITY Act, a crypto market structure bill, following an earlier delay by the Senate Agriculture Committee. These overlapping delays stall the legislative process, with no immediate timeline for advancement. The CLARITY Act intends to clarify crypto regulatory oversight between the SEC and CFTC and create a unified federal framework for digital-asset markets. Lawmakers stress ongoing bipartisan negotiations and industry input to address consumer protection, national security, and U.S. competitiveness in financial innovation. The bill’s progress faces industry criticism, including Coinbase withdrawing support due to concerns about developer and user risks. Critics warn the current draft overexpands enforcement and surveillance powers, enabling transaction freezes without court orders and increasing liability protections for compliant firms, potentially undermining user trust and access. If passed, the Act could significantly impact the crypto industry, especially altcoins, but passage remains uncertain amid ongoing debate over regulatory scope and consumer safeguards.
