The cryptocurrency market is facing a high-stakes regulatory moment as the US Senate reportedly prepares for another vote on the CLARITY Act, with circulating reports pointing to a session as soon as 2:15 PM ET. The bill needs at least 60 votes to advance and is designed to clarify Section 17(a) liability under the Securities Act so that crypto issuers are held to the same fraud liability standards as other securities filers.
The previous penultimate vote fell 11 votes short of the 60-vote threshold, despite the Trump administration having said passage was 95% likely. Senator Elizabeth Warren argued against the bill by highlighting how the Trump family profited from crypto ventures while Americans lost billions on tokens such as TRUMP, MELANIA, and WLFI. That intervention helped stall the bill and highlighted the political divisions around digital asset regulation.
Now, unconfirmed social media posts suggest Democrats may have approved an updated version of the legislation, with approval odds near 51%. At the same time, Senator Cynthia Lummis has publicly criticized Democrats for rejecting the Act, warning that without clear fraud liability standards the United States risks falling behind in global digital asset innovation. Traders are braced for volatility: passage could spark a strong bullish reaction, while another failure could trigger intense selling pressure.
