Senator Cynthia Lummis escalated pressure on Senate Democrats to support the CLARITY Act, arguing they bear responsibility for the bill's fate after securing more than 100 requested changes to the legislation.
In a September 12 statement, the Wyoming Republican highlighted negotiations completed before a crucial September 15 procedural vote. The vote will determine whether Congress can advance comprehensive cryptocurrency market structure legislation before the November midterm elections. Advancement requires 60 votes.
114+ Democratic Provisions Incorporated
Lummis released revised legislative text on September 10 after lawmakers negotiated during the August recess. The approximately 630-page draft incorporated more than 114 Democratic provisions, according to her office.
The revised CLARITY Act includes provisions addressing protocols claiming decentralization while retaining centralized control. Regulators would determine when those businesses fall under specific federal compliance requirements, including Commodity Futures Trading Commission obligations and Bank Secrecy Act rules.
The revision also narrows certain decentralized-finance provisions to spot and cash digital commodity transactions and clarifies digital asset powers for credit unions.
Regulatory Oversight and Market Structure
The legislation would divide cryptocurrency oversight more clearly between the Securities and Exchange Commission and the CFTC. It would establish registration systems for digital asset intermediaries, which would face disclosure requirements, customer asset segregation standards, and protections addressing conflicts of interest.
Democratic lawmakers continue seeking stronger protections despite the revisions. Their concerns include illicit finance, consumer protection, securities law loopholes, financial stability, and presidential cryptocurrency conflicts. Banking groups have also raised concerns about stablecoin rewards and possible deposit outflows.
House Approval and Committee Advancement
The legislation already demonstrated bipartisan support in the House, passing 294-134 in July 2025 with 78 Democrats supporting the measure. The Senate Banking Committee advanced its version 15-9 in May 2026.
However, those earlier votes have not produced a publicly confirmed 60-vote Senate coalition needed for passage.
Current Regulatory Landscape
The CFTC already has authority to pursue fraud and manipulation involving spot digital commodity markets, though it lacks comprehensive oversight authority covering those markets. The SEC has also issued a 2026 interpretation covering crypto assets and proposed disclosure requirements for some crypto-related investment contracts, providing limited federal oversight.
Success on the September 15 procedural vote would allow the measure to proceed toward further Senate debate and amendments rather than immediately making it law. Failure to secure 60 votes would stall the current effort as the congressional calendar tightens.
