The odds of passing the Digital Asset Market Clarity Act dropped sharply to 27% as of July 29, 2026, on Polymarket following further Senate schedule delays. In response to the legislative gridlock, SEC Chair Paul Atkins emphasized that the agency is “ready, willing, and able” to regulate the crypto market using existing authorities if Congress fails to pass the bill.
Atkins acknowledged that legislation remains the preferred path, noting that statutory enactment is the key way to ensure rules stand the test of time - or in his words, future-proof. On July 27, he mentioned that the SEC continues to provide technical assistance to lawmakers drafting the legislation.
2026 Agenda Already on the Table
The SEC’s signal is no empty threat, as the agency has already laid out a dedicated crypto regulatory agenda for 2026. The proposed framework includes clarity on crypto fundraising, asset custody security guidelines, and trading procedures for tokenized securities onchain.
SEC commissioners are currently weighing a series of rulemaking proposals covering crypto entities, broker-dealer registration, and market structure frameworks. However, this unilateral move faces one jurisdictional limit: the SEC lacks the authority to grant the CFTC legislative oversight over digital commodity spot markets. That specific power strictly requires an act of Congress.
Stumbling Over Yields and Bank Lobbying
The sluggish progress of the CLARITY Act today contrasts sharply with its smooth early momentum. The US House of Representatives passed an initial draft in July 2025 by a 294-134 vote, followed by a 15-9 approval from the Senate Banking Committee in May 2026. Senator Cynthia Lummis recently released a reconciled draft between two committees on July 22, warning lawmakers that this represents the “last real chance” for years to come. Coinbase CEO Brian Armstrong also pressed the Senate to act swiftly, stating that clear guidelines are nearly within reach.
The Senate scheduling delay stems from two contentious negotiations: establishing ethics standards for elected officials and proposed restrictions on stablecoin yields. Banking industry groups harbor deep concerns that interest-like stablecoin products could trigger an outflow of deposits from traditional banking ecosystems.
For the crypto industry, this late-stage stalemate shifts the stakes. If the banking lobby stalls the bill until the legislative calendar expires, the window for compromise will close, leaving the market to brace for the SEC’s own strict rules.
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.
