JPMorgan Chase has indicated that comprehensive U.S. cryptocurrency market structure legislation, including the CLARITY Act, is now close to finalization. The bank's analysts report that negotiations have progressed significantly, with only two to three key issues remaining unresolved, down from roughly a dozen earlier in the process. This legislation aims to establish the first broad set of rules for digital assets in the United States, clarifying regulatory oversight between agencies like the Securities and Exchange Commission (SEC) and the Commodity Futures Trading Commission (CFTC).
A major component of the bill involves defining a clear market structure for Bitcoin and other cryptocurrencies, which would reduce uncertainty and potentially attract institutional investors who have remained cautious due to unclear rules. The act also covers the integration of decentralized finance (DeFi) platforms and stablecoins into the financial system. One of the last sticking points has been whether stablecoin providers can offer interest-like rewards to holders, a point of contention with traditional banks. JPMorgan stated the latest proposals on stablecoin yield are “in a good place,” and a draft from Senator Thom Tillis is expected imminently.
Despite the progress, timing remains a critical factor. The bill is not yet on the Senate Banking Committee's official schedule for the week of April 20, which currently only includes a Federal Reserve nomination. If a committee vote is not scheduled before the May holiday period, the legislation could face delays, pushing it closer to the November 2026 midterm elections. JPMorgan flagged the elections as a political risk, noting that a shift in control of the House of Representatives could deprioritize crypto legislation. Prediction market Polymarket currently places the odds of the CLARITY Act passing in 2026 at 65%, up from 54% earlier in the week.
