Key Takeaways
- The bill would assign oversight of digital assets categorized as securities to the SEC, while the CFTC would handle those considered commodities.
- Lawmakers say a Senate version of the bill could be finalized before the August recess, with a vote targeted for the end of September.
The U.S. Senate is preparing to vote on a landmark digital asset market structure bill before the end of September 2025. Senate Banking Committee Chair Tim Scott confirmed the timeline during a conversation with Senator Cynthia Lummis and White House crypto adviser Bo Hines, stating that establishing a clear framework for regulating digital assets is a top priority for Congress this session.
The legislation, formally known as the Digital Asset Market Structure and Investor Protection Act—also referred to as the CLARITY Act—aims to clearly define regulatory responsibilities between the Securities and Exchange Commission (SEC) and the Commodity Futures Trading Commission (CFTC). The bill would assign oversight of digital assets categorized as securities to the SEC, while the CFTC would handle those considered commodities.
Originally introduced as a discussion draft in May, the bill was formally submitted for legislative consideration later that month. A joint House subcommittee held a hearing on the issue on June 6. Lawmakers say a Senate version of the bill could be finalized before the August recess, with a vote targeted for the end of September.
If passed, the legislation would implement comprehensive guidelines for digital asset exchanges, custodians, and brokers. These entities would be required to register with federal agencies, comply with investor protection protocols, and adopt transparency measures. The bill is intended to reduce legal ambiguity for market participants and encourage responsible innovation in the crypto sector.
Senator Cynthia Lummis, a long-time advocate for digital asset regulation, expressed strong support for the September deadline. She emphasized that both the CLARITY Act and the Guiding and Establishing National Innovation for US Stablecoins (GENIUS) Act should be passed before the end of 2025. The GENIUS Act, focused on stablecoin oversight, cleared the Senate earlier this year and is awaiting action in the House of Representatives.
Lummis added that failure to pass both bills would hinder the U.S. government’s ability to regulate the growing digital finance ecosystem.
