The U.S. House Financial Services Committee and the House Agriculture Committee have both passed the Digital Asset Market Structure Clarity Act (commonly referred to as the CLARITY Act), paving the way for a full House vote and potentially reshaping the nation’s crypto regulatory framework.
The highly anticipated CLARITY Act recently received approval from two major congressional committees. The Financial Services Committee advanced the bill by a vote of 32–19, while the Agriculture Committee passed it with a 47–6 vote.
The legislation aims to establish a clear legal status for digital assets and redefine the jurisdictional boundaries between the two primary U.S. regulatory agencies—the Securities and Exchange Commission (SEC) and the Commodity Futures Trading Commission (CFTC).
If enacted, the CFTC would become the primary regulator for most digital assets, significantly curbing the SEC’s oversight—particularly over non-securities digital assets.
French Hill, Chairman of the House Financial Services Committee and a Republican from Arkansas, commented after the vote: “Blockchain and digital assets are part of the future of America’s financial system. Congress now has the opportunity to establish a regulatory framework that fosters innovation while ensuring market transparency.”
The versions of the bill passed by both committees will be consolidated into a single text and brought before the full House for a vote. Industry observers see this legislative move as a pivotal step toward a comprehensive crypto regulatory system in the U.S.
Supporters argue that the CLARITY Act will bring much-needed stability and legal certainty to a digital asset market long mired in regulatory ambiguity. They say it will encourage technological innovation while safeguarding consumer interests.
However, the bill faces criticism as well. Some Democratic lawmakers have voiced concerns that it could weaken existing financial protections and be exploited by certain decentralized finance (DeFi) projects as a loophole to avoid oversight. During committee deliberations, Democrats proposed a range of amendments, including a ban on the president holding crypto assets, but these were all rejected.
In response, Republican lawmakers emphasized that the bill is designed to regulate based on function rather than label, underscoring the need for rules that align with how innovation operates in practice.
The fate of the CLARITY Act still depends on the outcome of the full House vote and subsequent Senate review. Regardless of the final result, the bill’s progress has already sparked significant debate in Washington about the future of digital asset regulation and may mark a turning point in U.S. crypto policy.