Senate Republicans released a revised version of the Clarity Act, described as their final offer, ahead of a procedural vote scheduled for Tuesday. The bill requires 60 votes to advance, necessitating support from at least seven Democratic senators.
The updated text includes stricter ethics rules for officials, which President Donald Trump has now approved. These rules mandate divestment or the use of blind trusts for financial interests, expand the definition of covered officials to include spouses and officials-elect, and remove the previous sunset date.
The revised legislation modifies the Blockchain Regulatory Certainty Act by removing explicit protections against criminal prosecution under Section 1960. This change has drawn criticism from industry participants, who view it as a setback for software developers.
New provisions include a circuit breaker mechanism for stablecoins, allowing the Treasury Secretary to intervene if deposit flight from community banks occurs. Additionally, the bill clarifies that developers who do not handle customer funds are not subject to money transmitter registration requirements.
Industry analysts have reacted with cautious optimism. Alex Thorn of Galaxy Digital increased the probability of the bill passing in 2026 from 10% to 25%, though he noted that the limited legislative calendar remains a significant challenge for final approval.
