CLARITY Act Clears Key Hurdle as Senate Vote Odds Jump to 72%

The CLARITY Act has regained momentum after President Trump signed off on new ethics language, removing one of the biggest issues that briefly stalled the bill in Congress.

The proposed legislation would prevent the president, vice president, members of Congress and other federal officials from launching cryptocurrencies while serving in office. Lawmakers are still debating who should enforce the rule, with Republicans wanting the U.S. Department of Justice (DOJ) to handle enforcement and Democrats arguing that state attorneys general should also have authority.

The bill aims to protect crypto investors by requiring crypto firms to keep customer assets completely separate from company funds. This would prevent customer holdings from being used to repay banks, bondholders, or other creditors if a company becomes insolvent, as seen in major company failures like Voyager.

Prediction markets now place the chances of a Senate vote before the August recess at 72%, showing growing confidence that lawmakers will meet the deadline. The next major step is House-Senate reconciliation discussions scheduled for July 22-24.