Senate Banking Committee Advances CLARITY Act in Major Win for Crypto Industry

The U.S. Senate Banking Committee has officially advanced the CLARITY Act after voting 15-9 in favor of the crypto bill during today’s markup session. The legislation will now move to the Senate floor for further debate and consideration, marking a significant step toward becoming law and a major victory for the cryptocurrency industry in 2026.

The CLARITY Act received bipartisan backing, with Democratic Senators Ruben Gallego and Angela Alsobrooks joining Republican lawmakers in supporting the bill. The legislation is designed to establish clearer regulatory guidelines for the digital asset sector and define how federal agencies oversee cryptocurrencies.

During the hearing, Senator Elizabeth Warren strongly criticized the bill, arguing that it favors the crypto industry and could increase fraud risks within the digital asset market. She claimed the legislation would mainly benefit crypto stakeholders while exposing consumers to greater financial risks. Warren also pushed for amendments aimed at restricting the Federal Reserve from granting master accounts to crypto-related firms, although those proposals did not gain enough support.

Pro-crypto Senator Cynthia Lummis defended the CLARITY Act, stating that the bill includes safeguards against illegal activity while encouraging innovation and financial freedom in the United States. Senator Thom Tillis also supported the legislation, highlighting endorsements from industry participants and law enforcement organizations.

Another proposed amendment focused on ethics rules for public officials. Senator Chris Van Hollen suggested banning the President, Vice President, members of Congress, and senior government officials from owning or promoting crypto projects. However, the amendment failed along party lines.

The next phase for the CLARITY Act involves merging the legislation with the Senate Agriculture Committee’s Digital Commodity Intermediaries Act (DCIA), which focuses on Commodity Futures Trading Commission oversight of crypto commodities. After the merger, Senate Majority Leader John Thune is expected to schedule floor debate. If approved by the Senate and House, the final crypto regulation bill will head to President Donald Trump for signature.