CLARITY Act Advances as Senate Panel Sends Crypto Bill to Floor

Highlights:

• The CLARITY Act has advanced 15-9 after Gallego and Alsobrooks joined Republicans.
• The bill now moves toward floor talks and Senate merger negotiations.
• Crypto market has responded well, with Bitcoin surging above $82K.

The Senate Banking Committee advanced the CLARITY Act on Thursday after a 15-9 vote, giving the crypto market structure bill a stronger path toward the full Senate. The vote followed months of negotiations involving lawmakers, the White House, crypto firms, and bank trade groups.

The bill gained bipartisan support after Democratic Senators Ruben Gallego and Angela Alsobrooks joined Republicans in voting yes. However, both Democrats made clear that their committee support did not guarantee final backing on the Senate floor.

Gallego said he could vote against the bill later if lawmakers fail to resolve ethics language around conflicts of interest. Alsobrooks also said her support in committee reflected good-faith negotiations, not a final commitment.

Today, Chairman @SenatorTimScott led Banking Committee Republicans and Democrats in a historic bipartisan markup to advance to Clarity Act, legislation that will establish clear rules of the road for digital assets. pic.twitter.com/FujDX2GnAd

— U.S. Senate Banking Committee GOP (@BankingGOP) May 14, 2026

Senate Committee Vote Sends Bill Forward

The bill seeks to create clearer rules for digital assets by dividing oversight between the SEC and the CFTC. This structure would help decide which assets fall under securities rules and which trade as commodities.

Supporters argue that clearer supervision could reduce years of uncertainty across the U.S. crypto market. Moreover, they say the bill could give regulators stronger tools while allowing compliant crypto businesses to keep building.

However, the markup also showed deep divisions. Senator Elizabeth Warren criticized the bill and said it favored crypto industry interests. In response, Senator Cynthia Lummis argued that the legislation included measures to curb illicit activity and support American innovation.

CLARITY Act Introduces Supervision for Digital Assets

One major debate centered on stablecoin rewards and possible risks to bank deposits. The latest version reached a middle ground between banking groups and crypto firms after earlier disputes over yield language. The May 11 version blocks returns on passive stablecoin holdings that resemble deposit interest. However, it allows rewards linked to active use, including trading, transactions, or staking.

Banking concerns also surfaced when Senator Catherine Cortez Masto tried to revive an amendment from Senators Jack Reed and Tina Smith. This proposal aimed to address deposit flight concerns, although Committee Chair Tim Scott had already ruled it out of order.

Senate Floor Process Becomes Next Major Test

The bill now heads toward the full Senate process, where lawmakers expect to merge it with the Senate Agriculture Committee’s digital commodity bill. This version focuses on the CFTC and its role in regulating crypto commodities. After both versions come together, Senate leaders would need to schedule floor time for debate. The bill may advance with a simple majority, but supporters would need 60 votes to end debate.

The House passed its own version last year, so lawmakers would still need to reconcile both chambers’ texts. After that step, both chambers would need to approve the final bill before it could reach the president.

Meanwhile, crypto prices have reacted positively after the committee vote. The total market cap climbed more than 2% to $2.72 trillion, while trading volume reached $97 billion. Bitcoin also moved back toward the $81,000 zone after gaining more than 3% in 24 hours.