Scott Bessent to Senate: Failure to Pass CLARITY Act Risks Sending 'Troubling Signal' to Allies and Adversaries
Treasury Secretary Scott Bessent urges the Senate on Wednesday to advance the CLARITY Act, warning that failure to do so could undermine America’s leadership in digital assets.Bessent Warns of Fallout if CLARITY FailsBessent urged lawmakers to stay at the negotiating table, approve the motion to proceed, and keep the legislative process moving.He warned that inaction could send a "troubling signal" to allies and adversaries that the U.S. isn’t ready to lead the future of cryptocurrencies and blockchains.Last month, Bessent criticized , saying political considerations were blocking regulatory clarity for the cryptocurrency industry. He described the legislation as a “floor-ready” bill awaiting a vote.In July, I called on the Senate to advance the Clarity Act — a bill to establish a comprehensive regulatory framework for digital assets and upgrade our ability to prevent bad actors from exploiting these critical technologies.When the Senate returns from August recess, I… Read Also: All Eyes on SenateThe Senate procedural vote . The bill still needs 60 votes, meaning all voting Republicans plus at least seven Democrats. Polymarket currently places the CLARITY Act’s passage odds at 17%The key impasse is an ethics requirement aimed at President Donald Trump’s family’s cryptocurrency dealings. An updated draft added new ethics provisions prohibiting federal officials, including the president and vice president, . Still, a .CFTC Chair Mike Selig would “move swiftly” to propose new rules if the CLARITY Act stalls due to Democratic obstruction. On the other hand, SEC Chair Paul Atkins said statutory grounding is necessary to support its own regulation proposals. Read Also: CLARITY Act Is a 'Powerful Package' Ahead of Key Vote Next Week, Coinbase Exec Says Image Courtesy: 1 Andrew Thomas 1 via Shutterstock