Crypto Coalition Urges Senate To Fast-Track CLARITY Act As US Leadership Faces Critical Moment

Over 100 industry organizations have pressed the Senate to move forward with a markup of the crypto market structure bill to “future-proof” the industry and “cement” US leadership in financial innovation.

In a letter addressed to Senators Tim Scott, Cynthia Lummis, Elizabeth Warren, and Ruben Gallego, the crypto groups asked the Senate Banking Committee to notice and set a markup date for the CLARITY Act to “provide a comprehensive federal market structure framework for digital assets.”

As they explained, a well-designed market structure regime is fundamental to clarifying the roles and responsibilities of market participants, ensuring robust consumer protections, and preserving US leadership in financial innovation.

They argued that “timely action is critical,” as the absence of a comprehensive framework risks giving economic and strategic advantages to other major jurisdictions that have already implemented comparable policies.

However, they stressed that “agency action alone is not a durable solution,” arguing that the US “cannot risk a return to the previous era of regulation by enforcement, which perpetuated uncertainty for both builders and market participants.”

“Our industry recognizes the importance of this moment. (…) The U.S. has long been the global leader in financial markets due to its commitment to clear rules, strong institutions, and openness to innovation. With thoughtful market structure legislation, Congress has the opportunity to extend that leadership into the next generation of financial technology. For these reasons, we strongly encourage the Committee to swiftly move forward with a markup of digital asset market structure legislation as soon as practicable,” the letter read.

Nonetheless, pressure from the banking sector may push the long-awaited markup session, initially expected for late April, to the second week of May, when lawmakers return from recess.

According to the reports, Senator Thom Tillis’ office has faced a “targeted pressure campaign” from banking groups, which are reportedly unhappy with the stablecoin yield restrictions included in the current version of the act.

For context, the crypto and banking industries have been fighting over the potential prohibition of yield and rewards on stablecoin balances. This dispute has stalled the bill for over three months.

The draft also limits workarounds and prohibits any activity “economically or functionally equivalent” to interest. Despite the fears of a longer delay, a mid-May markup remains within the timeline multiple lawmakers and crypto industry figures have mentioned.