More Than 200 Crypto Firms Urge Senate to Approve the CLARITY Act

Crypto advocacy groups representing hundreds of organizations called on Senate leadership in a letter to bring a major cryptocurrency bill to a vote before the midterm elections take place.

More than 200 cryptocurrency firms and industry organizations have called on the US Senate to approve the CLARITY Act, warning that further delays could cause lawmakers to miss a critical legislative opportunity.

In a letter released Monday by crypto advocacy group Stand With Crypto, the coalition urged Senate Majority Leader John Thune and Minority Leader Chuck Schumer to move the CLARITY Act to the Senate floor without further delay.

The group said the Senate Banking Committee’s approval of the bill last month followed months of extensive bipartisan negotiations and argued that lawmakers should capitalize on that progress by advancing lasting market structure legislation.

The legislation would establish how the Securities and Exchange Commission and the Commodity Futures Trading Commission oversee the crypto industry, but progress has been delayed several times this year as lawmakers and industry advocates continue to debate key provisions.

Banking industry groups have advocated for a provision that would prohibit platforms from offering yields on stablecoins, while crypto advocates have pushed for safeguards protecting developers of decentralized platforms, leading to months of negotiations between the two sides.

Crypto Groups Warn US Risks Losing Innovation Without CLARITY Act

The letter, endorsed by industry groups Stand With Crypto, The Digital Chamber, the Blockchain Association, and the Crypto Council for Innovation, argued that the legislation would help retain crypto-related jobs, investment, and market activity in the United States while positioning the country as a global hub for digital asset innovation.

The letter stated that digital asset markets are expanding globally and are becoming an essential part of the future financial system. It argued that Congress must decide whether this development will take place within the United States under domestic laws, regulatory oversight, and national principles, or continue shifting to offshore jurisdictions that offer less transparency, weaker consumer safeguards, and reduced accountability.

The Senate has not yet allocated floor time for the bill before the November midterm elections, prompting analysts to lower their expectations for the legislation’s chances of being approved this year.

Galaxy Digital said on Friday that it reduced its estimated probability of the bill passing in 2026 from 75% to 60%, arguing that Senate approval must be secured before the August recess begins in late July, as the legislative opportunity would largely disappear afterward.

The Senate Agriculture Committee and Senate Banking Committee each approved separate versions of the legislation covering commodities and securities regulations, and those proposals must be consolidated before the measure can be brought before the full Senate for debate.

Lawmakers have indicated that the bill requires revisions related to ethics standards and anti-money laundering measures if it hopes to secure the minimum 60 votes needed to advance through the Senate without an extended debate.

Senator Cynthia Lummis, a key supporter of the legislation, told CNBC on Wednesday that lawmakers are working through concerns related to ethics rules and illicit finance, issues that could weaken backing for the measure when it reaches the Senate floor.

Galaxy said it has not identified any signs that the legislation or the related negotiations have made meaningful progress, nor has it seen evidence that the outstanding provisions under discussion have been fully resolved.