Senate Republicans have released a revised crypto market structure bill as lawmakers prepare for a crucial procedural vote on September 15. The 630-page Clarity Act adds new rules for non-decentralized finance protocols.
However, the legislation still faces significant hurdles before reaching President Donald Trump’s desk. Democrats have yet to support the latest version, raising fresh questions about whether Republicans can secure enough votes.
New Rules for DeFi Protocols
The revised bill targets people or groups that can materially control decentralized trading protocols. Such entities would need to register with the Commodity Futures Trading Commission. Additionally, the CFTC and Treasury would develop rules governing these activities.
The bill also narrows certain DeFi provisions to spot and cash digital commodity transactions. Consequently, lawmakers hope to address concerns from tribal governments over prediction markets. The latest text also clarifies rules governing crypto activities by credit unions.
Bipartisan Support Remains Uncertain
Sen. Cynthia Lummis said Republicans incorporated more than 114 provisions requested by Democrats. However, Politico reported that Democrats currently do not support the updated legislation.
The ethics provisions also remain largely unchanged. They restrict public officials and spouses from issuing or sponsoring digital assets. Moreover, the Justice Department would enforce those restrictions through January 2029.
Hence, negotiations could intensify before the September 15 vote. Lummis continues pushing for passage, arguing that clear federal rules could strengthen America’s position in global crypto markets.
Related: Lummis Uses $42M Tether Lawsuit to Push Senate Toward CLARITY Act
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