Coinbase CEO Brian Armstrong has indicated that significant regulatory developments in the US cryptocurrency sector could occur by mid-September, citing potential Senate action on the CLARITY Act and new rules from the SEC and CFTC. The timeline follows a White House meeting involving President Donald Trump and crypto industry leaders, as lawmakers and regulators prepare to address long-standing governance gaps.
The CLARITY Act, which requires 60 Senate votes to pass, faces a pivotal moment on September 15, when a Senate vote is expected. Republicans currently hold 53 seats, leaving the bill reliant on support from at least seven Democrats or independents. Senate Majority Leader John Thune has already filed for cloture on the legislation, signaling momentum for a bipartisan approach.
Separately, the SEC has proposed rules allowing crypto firms to raise up to $5 million over four years or $75 million within 12 months, aiming to streamline capital-raising processes. Meanwhile, CFTC Chairman Mike Selig has warned that the agency will act independently if the CLARITY Act stalls, leveraging existing authorities to establish regulatory frameworks for crypto markets.
Galaxy Research has revised its assessment of the CLARITY Act’s passage odds from 50% to 30%, citing unresolved disputes over ethics provisions, illicit finance rules, and language from the Senate Agriculture Committee. Armstrong described September 15 and 16 as “turning points,” emphasizing that “clarity is coming either way,” though the exact shape of regulatory outcomes remains uncertain.
Uncertainties persist regarding Democratic support for a bipartisan version of the CLARITY Act and the precise timelines for implementing SEC and CFTC measures. These developments underscore ongoing tensions between industry demands for regulatory certainty and legislative hurdles in Washington.
Written by Steven Cook
Regulation Desk
