CLARITY Act Stalls After Senate Cloture Fails; Crypto Prices Slide

The cryptocurrency market weakened after the U.S. Senate failed to clear a procedural hurdle needed to move the CLARITY Act forward. A Tuesday cloture vote drew 39 votes in favor and 36 against, falling short of the 60 votes required to begin formal Senate consideration. The setback prevents the bill from advancing to floor debate under the current vote. Major tokens traded lower around the vote. Bitcoin was near $75,942.93, down 3.7% over 24 hours and 3.2% for the week. Ethereum changed hands around $2,403.95, down 5.2% on the day and 3.5% over the week. XRP, Solana, and BNB also posted daily declines. The vote addressed whether lawmakers would start formal consideration, not final passage of the CLARITY Act. To meet the 60-vote threshold, Republicans would have needed support from at least a dozen Democrats. Even if cloture had succeeded, the bill would still face additional steps, including floor amendments, a final Senate vote, and reconciliation with the House version. Crypto market analyst Ted Pillows said the failure could push the legislative timeline into 2027. He also said the U.S. SEC and CFTC have indicated they could publish rules using existing authority. Grayscale issued a statement after the procedural vote, saying regulators continue working on digital-asset rules through the SEC and CFTC. The firm added it will keep engaging policymakers and regulators on U.S. crypto regulation. Negotiations leading into the vote highlighted persistent divisions. Punchbowl News reported Democrats discussed a counterproposal in a private meeting Monday night. Senator Mark Warner said Democrats working on the legislation planned to send Republicans that counterproposal, without specifying which provisions it would cover. Republicans circulated what aides described as their final offer over the weekend, including tougher ethics restrictions tied to President Donald Trump. Democrats broadly rejected that ethics framework in Monday talks. Senator Elizabeth Warren detailed what she viewed as shortcomings in the ethics language to Democratic colleagues, and Senator Raphael Warnock opposed moving forward without stronger anti-corruption provisions. Senator Cynthia Lummis urged the Senate to advance the CLARITY Act, saying Democrats secured 126 concessions during negotiations and drafted more than half of the 635-page bill. Concerns also surfaced within the Republican conference. Senator Susan Collins called the bill a "moving target" and said she remained undecided Monday, citing the need for more time to review the 600-plus-page text and the updated ethics provisions. She also raised concerns about potential deposit losses for community banks. Punchbowl News said Collins became the seventh Republican to cite community-bank-related concerns. Senator John Curtis said he would back cloture but oppose final passage without further changes. Senator John Cornyn said he was still weighing how to vote ahead of the Senate action. The post CLARITY Act Fails in US Senate Vote, Crypto Market Retreats appeared first on The Coin Republic.