Welcome to another update on the Clarity Act. Will it pass? The jury (and by that I mean Congress) is still out. It's certainly possible. But we are running into some timeline issues, like the fact that it is now July.
You’re reading State of Crypto, a CoinDesk newsletter looking at the intersection of cryptocurrency and government.
Countdown clock
The Clarity Act was not signed into law on July 4 as White House adviser Patrick Witt said in May he hoped would happen. Moreover, the clock is really starting to run out on getting it passed entirely.
Why it matters
If the Clarity Act doesn't pass through Congress before the midterm election, it's anyone's guess as to what'll happen after the election. If the House or Senate does flip, there's less of a chance that the bill will work through as-is.
Breaking it down
No one is willing to say the bill is dead yet. Three different people following the process said late last week that they were still optimistic about the bill's chances of passage this year.
While Congress isn't in session much this summer, most of the work that needs to happen is happening behind the scenes anyway.
Last week, U.S. President Donald Trump filed his annual disclosure for 2025, revealing that he made $2 billion last year, with about $1.4 billion coming from the crypto industry.
Senator Elizabeth Warren called for an ethics provision in the Clarity Act.
The other key thing that happened last week was the U.S. Supreme Court ruling that the president can fire independent agency commissioners at will.
The next date to watch for is Aug. 7, 2026, the last day of the Senate term before everyone leaves for the summer and the campaign season.
