Trump demands Senate pass Clarity Act as crypto regulation bill faces September showdown
President Donald Trump is pressing Congress to advance the Clarity Act, a major cryptocurrency market-structure bill that stalled in the Senate before the August recess. Speaking at a White House gathering with crypto executives and financial industry leaders, Trump argued that the legislation would give the U.S. a clearer regulatory framework and help maintain its position in the global digital-asset industry.
“We need Congress to take the next step by passing the Clarity Act — a fair version of the Clarity Act,” Trump said. He added that the bill “will keep us ahead of China, keep us ahead of everyone else, will open the door to the next wave of innovations and innovators.”
Trump’s remarks came as lawmakers and regulators prepare for another push on cryptocurrency legislation. The Senate had been unable to reach a compromise before its August break, leaving the bill’s future uncertain despite support from the administration and major players in the crypto industry.
Trump described the legislation as an important step toward establishing clearer rules for digital-asset businesses operating in the U.S. He also framed the issue as part of a broader competition over financial and technological innovation.
“We ended the war on crypto once and for all,” Trump said at the White House event.
He also said the administration was focused on creating conditions for companies to develop and operate in the U.S. rather than moving activity overseas.
Senate vote is scheduled for September
The Senate is expected to return to the legislation in September. Sen. Cynthia Lummis, R-Wyo., said Senate Majority Leader John Thune had scheduled a vote for Sept. 15 at 2 p.m.
“Sen. Thune was kind enough to actually schedule the bill for Sept. 15 at 2.p.m., no less,” Lummis said. “We actually have not only a day, but a time. So we will move forward on that date and that time.”
The scheduled vote gives lawmakers a new deadline to resolve disagreements over the legislation. The Senate’s Republican majority holds 53 of the 100 seats, meaning bipartisan support would be needed for the bill to clear the chamber under the chamber’s usual legislative rules.
Trump’s crypto ventures are a major point of contention
One of the most significant objections from Democrats involves the bill’s ethics provisions and Trump’s extensive financial interests in cryptocurrency.
According to the information provided, Trump’s crypto ventures generated $1.4 billion in income last year, based on his annual financial disclosure. Democratic senators have argued that the legislation should contain stronger provisions addressing potential conflicts involving the president’s crypto-related businesses.
The issue has complicated negotiations over a bill that otherwise has attracted support from parts of the financial and cryptocurrency industries. Trump’s predecessors generally sought to limit potential conflicts through measures such as blind trusts, divestments or diversified investments, while Trump’s business activities have remained closely connected to his public policy agenda.
Banks and crypto companies are divided over stablecoin rewards
Another dispute involves provisions that could allow crypto companies to offer interest-like payments to customers holding digital assets.
Banking groups have raised concerns that these arrangements could compete directly with traditional bank deposits. Their argument is that crypto platforms could attract money away from banks by offering customers rewards or yields associated with stablecoins.
Crypto companies, meanwhile, have pushed for rules that would give them greater freedom to develop products and services around digital assets.
The disagreement has become one of the broader obstacles facing the Clarity Act as lawmakers attempt to balance the interests of traditional financial institutions with those of the rapidly expanding crypto industry.
SEC moves ahead while Congress debates
The Senate’s delay has not stopped federal regulators from moving forward with their own cryptocurrency initiatives. On Tuesday, the Securities and Exchange Commission proposed a new framework for certain crypto offerings and exemptions.
The proposal, called “Regulation Crypto Assets,” is designed to create a framework for certain investment contracts involving digital assets. It includes a startup exemption that would allow qualifying crypto projects to raise up to $5 million over a four-year period and another fundraising exemption allowing offerings of up to $75 million during a 12-month period, subject to disclosure and reporting requirements.
The SEC also proposed an investment-contract safe harbor under which certain crypto assets would no longer be subject to investment-contract regulation after an issuer stops performing “all essential managerial efforts.”
SEC Chairman Paul Atkins said the agency wants to provide clearer pathways for crypto entrepreneurs while Congress works on a longer-term regulatory framework.
Treasury is also implementing the GENIUS Act
The regulatory push extends beyond the Clarity Act. The Treasury Department recently sought public input on implementing the GENIUS Act, the stablecoin legislation Trump signed into law in July 2025.
The law establishes a federal framework for dollar-linked stablecoins and includes rules governing how qualifying stablecoins can be backed. Treasury has proposed definitions covering stablecoins, issuance and related parties as it prepares for the law to take effect on Jan. 18, 2027.
“Treasury welcomes input from stakeholders as we work to provide the regulatory certainty businesses need to innovate and grow in America, cement the role of the U.S. dollar as the world’s reserve currency, and keep America the crypto capital of the world,” Treasury Secretary Scott Bessent said.
The GENIUS Act could also have implications beyond crypto markets because stablecoin issuers can hold short-term U.S. Treasury securities as reserves.
Stablecoins could create new demand for Treasury bills
The connection between cryptocurrency and federal borrowing has drawn attention from Bessent, who has previously discussed stablecoins as a potential source of demand for Treasury bills.
Under the GENIUS Act, qualifying dollar-backed stablecoins can use certain assets, including Treasurys that mature within 93 days, to support their value. That creates a potential link between growth in stablecoins and demand for short-term U.S. government debt.
The stablecoin market is currently worth roughly $300 billion, substantially smaller than the nearly $8 trillion U.S. money-market fund market. But projections cited in the supplied material suggest stablecoins could eventually become a multitrillion-dollar market.
Bessent has previously cited projections that the stablecoin market could approach $4 trillion and said that “this could lower government borrowing costs.”
The prospect of renewed congressional action has already become a factor for investors and crypto companies. Shares of Circle Internet Group and Coinbase reportedly rose more than 20% during the week surrounding the latest developments.
For stablecoin businesses, passage of the Clarity Act could provide greater regulatory certainty, although adoption of digital assets is already advancing without the legislation.
At the same time, the industry’s future is likely to involve increasing competition. Tokenized bank deposits and digital versions of Treasury securities are emerging alongside stablecoins, creating additional alternatives within the broader digital-finance market.
Trump says crypto leadership is part of a broader U.S. strategy
Trump has increasingly tied cryptocurrency policy to a broader effort to keep emerging financial and technological industries in the U.S.
“We’re focused on creating a clear, regulatory framework for pioneers and builders like the people that are with me here, so they can do business with confidence on American soil,” Trump said. “We’re ensuring America remains the undisputed leader, not only in bitcoin and crypto but also technologies like prediction markets, artificial intelligence and much more.”
He also highlighted efforts by the Commodity Futures Trading Commission to bring Hyperliquid, a crypto exchange and infrastructure provider, to the U.S.
Crypto executives including Coinbase CEO Brian Armstrong, Robinhood CEO Vlad Tenev, Ripple CEO Brad Garlinghouse and Kraken co-CEO Arjun Sethi attended the White House gathering. Leaders from traditional financial institutions were also represented.
The Clarity Act faces a difficult path ahead
The Sept. 15 vote gives the legislation another opportunity after its earlier Senate setback, but significant disagreements remain. Democratic senators continue to raise concerns about ethics provisions, while banking groups object to provisions they believe could pull deposits away from traditional financial institutions.
The administration, meanwhile, is continuing to advance crypto policy through the SEC, Treasury Department and CFTC even as Congress considers the broader market-structure bill.
For Trump, the Clarity Act is part of an effort to establish clearer rules for the industry and encourage crypto innovation in the U.S. Whether lawmakers can resolve the remaining disputes will determine whether the bill moves from a stalled proposal to legislation on the president’s desk.
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John Dealbreuin came from a third world country to the US with only $1,000 not knowing anyone; guided by an immigrant dream. In 12 years, he achieved his retirement number.
He started Financial Freedom Countdown to help everyone think differently about their financial challenges and live their best lives. John resides in the San Francisco Bay Area enjoying nature trails and weight training.
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