US Crypto Industry Hangs in Balance as CLARITY Act Awaits Senate Approval

The Digital Asset Market Clarity Act, or CLARITY, has been making waves in the crypto industry as a potential solution to regulatory uncertainty in the US. The bill aims to provide clear guidelines for the industry, but its passage is threatened by the approaching midterm elections in November.

According to Bill Hughes, senior counsel and director of global regulatory matters at Consensys, the CLARITY Act would help to reshore the crypto industry in the United States. He points out that the US dollar is the world's largest fiat on-ramp for cryptocurrency, with over $2.4 trillion in volume between July 2024 and June 2025.

However, Hughes notes that the vast majority of crypto trading volume takes place on exchanges based outside of the United States, with Binance alone accounting for over 38% of all centralized exchange trading volume in December 2025. The only US-based exchange among the top 10 listed on Coingecko's report was Coinbase, which had a mere 6.1% market share.

Passing the CLARITY Act would not only provide clarity for the industry but also encourage projects to build in the US and attract more market share away from foreign exchanges. But time is running out, with the Senate having only weeks to move the bill before the August recess.