CLARITY Act stalls in Senate, future uncertain amid political cycles

The CLARITY Act, a crucial piece of legislation aimed at defining federal oversight for U.S. crypto markets, has stalled in the Senate. Former Chairman Patrick McHenry, in a recent appearance on CoinDesk’s Policy Protocol, discussed how political cycles have overshadowed the efforts to pass the bill. The Act failed to advance after the Senate’s cloture vote on September 15, 2026, fell short of the required 60 votes. The House had passed its version of the bill in 2025, leaving its future now uncertain as U.S. regulators continue to fill the crypto rulebook under existing authority. Market participants appear to interpret this development as a significant setback for the CLARITY Act’s chances of being signed into law within the year. This sentiment is reflected in the prediction markets where the likelihood of the Act being signed into law by the end of 2026 shows a modest decline. The market for the Clarity Act being signed into law by January 1, 2027, is currently priced at 5.1% YES, down from 6% a week ago. This development indicates a challenging path ahead for the CLARITY Act, with key political figures and committees playing pivotal roles in its progress or stagnation. Observe...