Crypto rulemaking shifts to SEC, CFTC, Fed after Senate blocks Clarity Act

September 26, 2026 at 09:06 PM2 min

This digest was compiled by AI from multiple sources — links to the originals are below.

The Senate's failure to advance the Clarity Act in a 49-50 procedural vote shifted crypto rulemaking from Congress to federal regulators. Within 48 hours, the SEC, CFTC, and Federal Reserve each proposed new rules for digital assets. Industry figures now see the regulatory path as more viable than waiting for legislation.

Key Facts

The Senate failed to advance the Clarity Act in a 49-50 procedural vote, falling short of the 60 votes needed.
The SEC introduced an innovation exemption allowing qualifying venues to trade tokenized U.S. stocks on-chain without registering as national securities exchanges.
The CFTC issued a no-action position for passive software providers and sent a broader crypto-markets rulemaking to the White House for review.
The Federal Reserve proposed rules requiring stablecoin issuers it oversees to fully back tokens with safe, liquid assets and hold capital against operational risks.
The OCC is racing to finalize its own stablecoin rules by November ahead of a January statutory deadline under the GENIUS Act.

Senate Vote Collapse

The Senate failed to advance the Clarity Act in a 49-50 procedural vote, well short of the 60 needed. Democrats voted against the bill, with three Republicans joining them, after negotiations foundered on ethics provisions tied to President Donald Trump's crypto ventures. Lead architect Sen. Cynthia Lummis called the effort all but dead for the year.

Regulatory Response

Within 48 hours, the SEC unveiled a tokenized-stock innovation exemption, with Chairman Paul Atkins directly addressing the Clarity Act's failure. The CFTC issued no-action relief for passive software providers and sent a broader crypto-markets rulemaking to the White House for review. The Federal Reserve proposed stablecoin reserve and capital rules under the GENIUS Act, which President Donald Trump signed in 2025. The OCC is racing to finalize its own stablecoin rules by November ahead of a January statutory deadline.

Industry Shift

Industry figures have largely made peace with the regulatory path, viewing it as more viable for now. Agency rules are slower, easier to challenge in court, and easier for a future administration to unwind than a law.