Lummis Urges Senate to Pass CLARITY Act Before Recess

Sen. Cynthia Lummis urged colleagues on the Senate floor to pass the CLARITY Act before the chamber begins its Aug. 8 recess, saying the U.S. regulatory framework for digital assets “is not working.” Majority Leader John Thune has not scheduled floor time for the bill, and Lummis plans to continue pressing senators.

The bill, H.R. 3633, known as the Digital Asset Market Clarity Act, would divide oversight of most digital assets between the Securities and Exchange Commission and the Commodity Futures Trading Commission, creating a statutory split for market supervision.

Passage in the Senate requires 60 votes. Republicans hold 53 seats, so at least seven Democrats would need to join for the bill to clear the floor. Prediction markets that put the bill’s chances above 80% in February now show roughly 30%.

If the Senate does not act before the recess begins on Aug. 8, debate would resume in September, compressing the legislative calendar as lawmakers enter the midterm campaign season.

Opponents have raised objections that have stalled a vote. Some lawmakers criticize the bill’s treatment of decentralized finance protocols. Others say its consumer-protection provisions are insufficient. Senator Elizabeth Warren has warned the measure could reduce regulatory oversight in a way that risks the broader financial system. Negotiators are also working separately on ethics provisions that would limit federal officials’ cryptocurrency holdings.

More than 200 industry groups, including Coinbase, Ripple, Kraken and Circle, have urged Senate leaders to bring the bill to the floor, arguing regulatory uncertainty pushes jobs and innovation offshore and leaves U.S. consumers without clear protections. Lummis argues the bill’s custody and disclosure requirements would close legal gaps that can be exploited as the industry scales.

Lummis has taken the floor repeatedly in recent days to press colleagues. She told reporters she will keep speaking about the bill and warned its current momentum “will not come around again this decade.” If Thune does not set debate time before the recess, congressional action on CLARITY would be delayed until the fall, increasing political pressure ahead of the midterms.