CLARITY Act Progress Hinges on Resolving Regulatory Hurdles

The much-anticipated CLARITY Act has made progress with a tentative agreement reached between the White House and key Senators. However, industry experts are warning that the legislation still faces significant regulatory hurdles.

Alex Thorn, head of firmwide research at Galaxy Digital, notes that the stablecoin rewards issue is just one of several contentious topics that need to be resolved for the bill to pass. These include DeFi regulation, developer protections, SEC powers, and ethics rules.

Thorn emphasizes that time is running out for the passage of comprehensive crypto legislation in 2026. If the CLARITY Act does not pass committee by the end of April, the odds of its passage diminish significantly. The window for passing the bill on the Senate floor by early May is rapidly closing.