Clarity Act crypto bill hits Senate trouble after bitcoin boost
The Clarity Act could miss a Senate vote before a five-week break as Trump crypto ethics concerns and bank objections pile up.
By Sal Moretti · Money Reporter
3 min read
The Clarity Act crypto bill that gave bitcoin a spring jolt is now running into trouble in the Senate, with MarketWatch reporting that President Donald Trump’s crypto ventures and pushback from banks could help stall the measure.
The bill, known as the Clarity Act, is aimed at creating a clearer regulatory framework for cryptocurrencies. Its path looked brighter in May, when the Senate Banking Committee voted to advance it, a move MarketWatch said helped lift bitcoin during a stronger stretch for the token.
Bitcoin climbed above $80,000 in the first half of May, a level MarketWatch described as roughly a six-month high. The cryptocurrency has since slipped back to around $64,000, leaving traders without the same spark from Washington.
What is the Clarity Act crypto bill?
The Clarity Act is a cryptocurrency regulation bill designed to give the industry a more defined set of rules, according to MarketWatch. The report did not detail the bill’s full text, but described its core aim as bringing more clarity to how cryptocurrencies are regulated.
The Senate Banking Committee’s May vote mattered because it moved the bill out of committee and closer to action by the full Senate. That step helped feed optimism among crypto traders, according to MarketWatch, as bitcoin pushed higher at the time.
Why is the Senate vote in doubt?
The full Senate may not pass the Clarity Act before senators leave for a five-week break, MarketWatch reported. That timing problem now sits alongside two political obstacles: questions tied to Trump’s crypto income and objections from banks.
MarketWatch reported that Trump recently disclosed earning $1.4 billion from crypto ventures in 2025. The disclosure has raised ethics concerns, according to the report, and those concerns could become one reason the bill fails to clear the Senate.
The same report also cited banks’ objections as a problem for the bill. It did not specify the banks involved or spell out their complaints, but framed their resistance as part of the pressure building against the legislation.
Trump has not commented in MarketWatch’s report on the ethics concerns tied to his crypto ventures. The report also did not include a detailed response from banking groups.
What it means for bitcoin
For crypto markets, the issue is less about one Senate calendar date and more about whether Washington can deliver rules the industry has been waiting on. MarketWatch tied bitcoin’s May strength in part to the committee vote, then noted the token’s pullback as the full Senate showed little sign of giving it another lift.
If the Senate leaves without passing the bill, the Clarity Act would remain stuck short of a final chamber-wide vote. For now, the crypto industry’s big rulebook push is caught between election-year ethics scrutiny, bank resistance and a ticking congressional clock.
This story draws on original reporting from MarketWatch.