Senate Banking Committee Sets May 14 Markup for Digital Asset Market Clarity Act

The Senate Banking Committee is scheduled to hold a long-awaited markup of the Digital Asset Market Clarity Act of 2025 (the "Clarity Act") on Thursday, May 14, at 10:30 a.m. The legislation has been largely stalled since January, when Coinbase CEO Brian Armstrong said the exchange would withdraw its support over provisions including stablecoin yield. Last week, Sens. Thom Tillis and Angela Alsobrooks released compromise language aimed at resolving the yield dispute. The proposal would bar crypto firms from paying yield on static stablecoin reserve holdings while permitting rewards tied to stablecoins used in certain activities. As of press time, the committee had not publicly released the full updated bill text. Banking industry groups signaled concerns with the compromise and said they would offer feedback. In a letter published Friday, trade associations including the American Bankers Association, Bank Policy Institute, Independent Community Bankers of America, National Bankers Association and Consumer Bankers Association said "additional work is needed to arrive at text that embraces the innovation represented by digital assets while also protecting consumers." The letter also included recommended edits to the provision released last week. The decision to schedule a markup indicates lawmakers may proceed with the current language despite those objections. Other issues remain unresolved. Sen. Kirsten Gillibrand, a longtime supporter of the crypto industry, told attendees at Consensus Miami last week that the Clarity Act should include an ethics provision barring senior government officials from profiting from the crypto industry while regulating it. Her office reiterated that stance in a Thursday press release citing CoinDesk-commissioned polling showing 73% of registered U.S. voters believe senior government officials should not have business ties to the industry. That ethics issue may not be taken up in the Senate Banking Committee's version. After the markup, the Senate will still need to reconcile the Banking Committee's bill with the Senate Agriculture Committee's version before the full chamber can vote on advancing the legislation.