The failure of the CLARITY Act to advance in the Senate on Sept. 15 triggered an unexpected rally across the crypto market. In a memo dated Sept. 30, Bitwise Asset Management CIO Matt Hougan outlined four sectors directly benefiting from the regulatory delay: stablecoin platforms, established exchanges, tokenization businesses, and revenue-generating tokens.
The largest price gains significantly outpaced major assets. While Bitcoin rose 8% and Ethereum gained 7% over Hougan’s tracking period, revenue-repurchase platform tokens posted much steeper surges. NEAR skyrocketed 104%, followed by Uniswap with a 49% gain. Other tokens followed suit; Pump added 19%, Hyperliquid climbed 15%, and Lighter trailed with 10% as of Sept. 30.
The rally in revenue-generating tokens promptly spurred action from institutional players. Bitwise launched the U.S. NEAR ETF on Sept. 29 on the NYSE Arca under the ticker NRR. The exchange-traded fund, which carries a 0.75% management fee, plans to stake all of its NEAR holdings.
Quicker Rules Through Agency Channels
Hougan concluded that crypto traded long-term certainty for better and faster rules. One immediate outcome of the CLARITY Act’s demise was the fate of stablecoin reward payments. The negotiated text of the bill had previously barred platforms from paying any interest or yield on stablecoins, under threat of fines reaching up to $5 million per violation.
With the strict ban off the table, regulation defaulted back to the GENIUS Act passed on July 18, 2025. That prior legislation only prohibited stablecoin issuers from paying yield merely for holding the token. Hougan identified Coinbase as the biggest beneficiary of this regulatory loophole, as the exchange remains free to offer stablecoin rewards to its users.
Just two days after the Senate vote stalled, the Securities and Exchange Commission (SEC) issued a five-year conditional exemptive order. The relief allows tokenized U.S. equities to trade directly through Automated Market Makers (AMMs) and liquidity pools.
The Risks of Agency Enforcement
The lack of definitive statutory legislation leaves vulnerabilities looming over the market. Rules that currently rely on agency decisions from the SEC and CFTC can be reversed far more easily than formal statutory laws. A future administration could shift policy directions, and new agency leadership could potentially take a much harsher enforcement stance starting in January 2029.
For now, the regulatory pause simply buys crypto developers extra time to pursue growth. Companies are free to engineer new products under agency forbearance, at least until leadership changes in Washington redraw the regulatory landscape. Reported by crypto.news.
Disclaimer: This article is for informational and educational purposes only, not financial advice. Cryptocurrency assets are highly volatile and carry significant risk. Always do your own research (DYOR) and never invest more than you can afford to lose.
