Over 120 Crypto Firms Urge US Lawmakers to Pass CLARITY Act

Key Insights

• More than 120 crypto firms, including Coinbase, Kraken, and Ripple, urged U.S. lawmakers to advance the CLARITY Act.
• The coalition called on the Senate Banking Committee to complete the bill’s markup.
• With roughly 18 weeks before the midterm elections, industry participants warned that the time for passage is limited.

More than 120 crypto firms and advocacy groups urged U.S. lawmakers to move forward with the CLARITY Act, citing delays in the Senate Banking Committee. The coalition included major exchanges, stablecoin issuers, and DeFi developers seeking a formal market structure framework.

The request came as legislative timelines tightened ahead of midterm elections, raising concerns that political shifts could stall the bill. Industry participants framed the legislation as a critical step toward regulatory clarity in the United States.

According to the letter, which was addressed to the Chairman of the Senate Banking Committee, Senator Tim Scott, and Ranking Member Senator Elizabeth Warren, the committee needs to proceed with the markup of the CLARITY Act.

They noted that the Committee has shown leadership and commitment to achieving bipartisan objectives in this Congress. Thus, it should complete its work with the CLARITY Act, which is also a product of bipartisan efforts over several years.

The letter, which was also addressed to the Chairwoman of the Digital Assets Subcommittee, Senator Cynthia Lummis, and the Ranking Member, Senator Ruben Galego, highlighted the importance of the U.S. having a crypto market structure regim

Echoing previous comments from stakeholders, it emphasized that the CLARITY Act is necessary for the US to maintain its leadership in the digital assets sector. According to the letter, other countries have been implementing regulatory frameworks for crypto and the US also needs to act.

The call on the Senate Banking Committee to act is not totally surprising, given that the CLARITY Act has been stuck there for months. With the Congress session now winding down, concerns about a potential failure have increased.

The coalition called for timely action by the Senate Committee, noting that regulatory clarity is necessary. It added that only legislation will prevent a return to the era of regulation by enforcement.

Despite growing support, the CLARITY Act continues to face resistance, particularly around stablecoin provisions. Banking groups have raised concerns about proposals allowing stablecoins to offer yield.

Banks argue that yield-bearing stablecoins could draw deposits away from traditional institutions. This concern has influenced ongoing negotiations within the Senate Banking Committee.

The disagreement has slowed progress, with lawmakers balancing financial stability concerns against innovation in digital finance.

As discussions continue, the outcome of the stablecoin debate may determine the final shape and timeline of the legislation.

The coordinated push from more than 120 crypto firms highlighted rising pressure on U.S. lawmakers to advance the CLARITY Act. Industry participants framed the bill as essential for regulatory clarity and global competitiveness.

However, political timelines and policy disagreements continue to challenge progress. With limited time before midterm elections, the next few weeks will likely determine whether the legislation advances or stalls.

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