The CLARITY Act, the most significant U.S. crypto legislation in history, is facing a political roadblock that threatens to stall its passage despite resolving key ethical concerns. Anthony Scaramucci, former White House Communications Director and founder of SkyBridge Capital, warned that Democratic lawmakers are opposing the bill primarily because President Donald Trump supports it, putting the odds of passage at roughly 40%. Pro-XRP lawyer John E. Deaton, who represented 75,000 XRP holders in the SEC case, echoed those sentiments, saying Democrats “hate Trump more than they love America.”
Scaramucci told reporters: “They will do everything they can to block it because he wants it. When they get back in power they’ll pull a Gensler and it will be very, very bad for the industry.” His remarks refer to the possibility that a Democratic return to control could revive the aggressive enforcement policies of former SEC Chair Gary Gensler, who pursued high-profile lawsuits against crypto firms. Deaton, though not a Trump supporter, fully agreed: “The Democrats don’t want to give Trump a win. Period. It’s utter bullshit to claim their opposition is over ethics. They simply hate Trump more than they love America. And it’s both tragic and pathetic.”
The CLARITY Act, formally the Crypto Legal Advancement and Regulatory Improvement Transparency Act, would create a federal regulatory framework for digital assets, ending the “regulation by enforcement” era. It passed the Senate Banking Committee in May and has awaited a full Senate vote since June. The last major hurdle—an ethics provision—was resolved when Trump agreed to it, but political gridlock remains. The bill needs 60 votes to pass, making bipartisan support essential.
Deaton noted that Trump has already made $1.4 billion from crypto without the Act, so his financial interest would persist regardless. The opposition, he argued, is strictly about denying a legislative victory before the midterm elections. Scaramucci’s 40% estimate is a stark drop from earlier optimism, underscoring the deepening partisan divide over crypto policy. If the bill fails, the U.S. risks ceding ground to jurisdictions like the EU, which already has MiCA, and the industry would remain in regulatory limbo.
