US Senate advances landmark crypto bill before heading on August recess

US Senate Majority Leader John Thune moved on Saturday to advance a ​major bill that would create ​a regulatory framework for cryptocurrencies which, if passed, would mark a ​huge victory for U.S. President Donald Trump and the crypto industry.

Thune, a Republican, early Saturday morning filed to set up a key procedural vote on the Clarity Act when the Senate returns from ‌its August recess ⁠in ⁠mid-September, potentially paving the way for a full floor vote on the bill, according to the US Senate Press Gallery website.

The move suggests Senate Republican leaders believe they may yet be able to wrangle ​the 60 votes needed for the bill to pass, despite continued opposition by many Democrats. Currently, the bill needs the support of at least eight Democrats and all ​of the Senate's voting Republicans for it to pass.


The ⁠legislation would ‌give the crypto industry its first comprehensive federal rulebook, defining when ​digital tokens are ​securities or commodities and which regulators oversee them. Crypto companies ⁠say the act is necessary to provide legal clarity for ​the industry and could potentially boost the adoption of cryptocurrencies.

The ​passage of the Clarity Act would also hand Trump a second major crypto policy win after he signed a bill supporting dollar-backed tokens known as stablecoins into law last year, even as Democrats say his family's own crypto profits create a conflict of interest.

The crypto industry spent more than $119 million backing pro-crypto candidates in the 2024 ‌election hoping to advance the Clarity Act and stablecoin law.

Passage of the bill would be a blow for banks, which have fought to limit ​language that ​would allow crypto companies ⁠to effectively compete for bank deposits by offering rewards on customer stablecoin holdings.

Trump, who courted crypto cash on the campaign trail and whose family has profited from its own ​token, has prioritized crypto reform during his second administration and the White House has also been pushing hard for the bill, Reuters reported.

Trump in June reported more than $1.4 billion in income from his family's crypto ventures last year.

Democrats want more restrictions on government officials' crypto ventures, and negotiations on that aspect of the bill remain fluid.