David Nage, portfolio manager at Arca, believes that the CLARITY Act's biggest obstacle is not crypto regulation but rather ethics provisions tied to elected officials and senior government leaders.
Nage stated that after spending a week meeting lawmakers and congressional staff in Washington, the core policy framework behind digital asset market structure legislation is largely complete.
The House passed the CLARITY Act in July 2025, and Senate Banking Committee advanced its version in May by a 15-9 vote. However, the bill currently sits on the Senate calendar awaiting further action.
Nage highlighted three major items remain before the legislation can reach the Senate floor: merging the Banking Committee and Agriculture Committee versions of the bill, resolving concerns surrounding decentralized finance developer protections, and finalizing ethics and conflict-of-interest language.