Clarity Act faces hurdles during lame duck session of Congress

The Digital Asset Market Clarity Act has cleared more legislative checkpoints than almost any crypto bill before it. With the August 2026 recess having come and gone without a Senate vote, the lame-duck session after November’s midterm elections is now widely regarded as the bill’s last realistic opportunity this Congress. What the bill actually does The CLARITY Act, formally H.R. 3633, draws a cleaner jurisdictional line between regulators. The CFTC would oversee assets classified as digital commodities, while the SEC retains authority over investment contracts and securities. Beyond the jurisdictional split, the bill mandates registration requirements, disclosure standards, anti-money laundering protocols, and customer protection rules for intermediaries operating in the market. In practice, that means exchanges, brokers, and custodians would face a defined federal rulebook rather than a patchwork of enforcement actions and no-action letters. The legislation also builds on the GENIUS Act, which addressed stablecoins and was enacted earlier, signaling a comprehensive, layered approach to digital asset policy. How far it’s come, and where it stalled The House passed the CLARITY Act...