The Senate's latest text of the Digital Asset Market CLARITY Act has reopened debate in Washington as lawmakers attempt to assemble the 60 votes needed to move the bill forward before the August recess.

Senators this week released a version of the legislation running more than 600 pages. The updated draft combines work from the Senate Banking and Agriculture committees and adds revised ethics language. The proposal is intended to establish a federal market structure for digital assets, dividing regulatory responsibilities between the Commodity Futures Trading Commission and the Securities and Exchange Commission, and setting rules for crypto trading and digital commodities. The legislation is widely viewed as the most comprehensive attempt yet by Congress to provide a unified legal framework for the crypto industry, which has operated under a patchwork of agency enforcement actions and court rulings rather than clear statutory authority.

Republican lawmakers have said the measure would provide clearer rules for consumers, businesses, and markets. Senator Cynthia Lummis said, "The U.S. has always been at the forefront of financial innovation." She also said the coming weeks may represent the last meaningful opportunity for years to pass the bill.

Senate Agriculture Committee Chairman John Boozman also supported the legislation. He said the bill would create "a clear, regulatory framework for digital commodities" while adding protections for consumers and markets.

Democrats Seek Stronger Ethics and Enforcement Provisions

The updated draft includes an ethics agreement negotiated by Lummis, Senator Bernie Moreno, and the White House. However, that language has not won support from several Democratic senators whose votes would be needed for passage.

A group of Democratic negotiators said the current version remains insufficient on ethics, consumer protection, illicit finance, conflicts of interest, and market integrity. They said negotiations would continue but that stronger provisions are needed before they can support the measure.

Senators Catherine Cortez Masto, Angela Alsobrooks, Cory Booker, Ruben Gallego, John Hickenlooper, Mark Warner, and Raphael Warnock said the Republican proposal still requires further work.

"Key provisions including those addressing ethics for elected officials, consumer protection, illicit finance, conflicts of interest and market integrity must be strengthened," they said.

The bill's enforcement structure remains one of the central points of disagreement. Democrats have raised concerns about whether the legislation provides sufficient authority outside federal agencies, while Republicans have continued pressing to advance the process.

Financial Sector and Crypto Groups Remain Divided

Traditional financial institutions are split over the CLARITY Act. Goldman Sachs Chairman and CEO David Solomon supported moving the bill ahead, saying, "I'm very supportive of moving the Clarity Act forward."

The Bank Policy Institute expressed a different position. The group said the text still does not resolve concerns involving Main Street credit, illicit finance, and national security.

Financial inclusion has also become part of the debate. The U.S. Hispanic Chamber of Commerce warned that reduced community bank lending could harm Hispanic entrepreneurs and widen gaps in access to capital.

The draft includes language addressing self-hosted wallets and access for underserved communities. Critics argue that it does not establish direct programs or tools designed to expand financial access.

Crypto industry groups are urging Senate leaders to begin floor consideration before the August recess. The Crypto Council for Innovation, Blockchain Association, and The Digital Chamber sent a joint letter asking leaders to prioritize the legislation.

Galaxy Research lowered its estimated odds that the CLARITY Act will become law in 2026 to 30%, down from 50% less than a month earlier. Galaxy's Alex Thorn said, "The calendar is no longer merely an obstacle. It is now the enemy."

Thorn said the coalition needed to pass the bill is not yet visible. He also said the measure now requires a "last-ditch effort" and stronger leadership to reach President Donald Trump's desk.

SkyBridge Capital founder Anthony Scaramucci said procedure is the largest obstacle facing the legislation. "If it gets to the floor, it's going to pass," he said.

The bill still requires 60 votes in the Senate to advance, making bipartisan support essential as lawmakers continue negotiations over ethics, enforcement, consumer protection, illicit finance, and market structure provisions.