The U.S. Senate Banking Committee has confirmed that it will hold a markup for the Digital Asset Market CLARITY Act during the second half of April 2026. This move sets the stage for a potential full Senate floor vote by May, marking a significant step toward establishing a comprehensive federal regulatory framework for cryptocurrencies. The legislation, which has been the subject of intense negotiation between lawmakers, regulators, and industry stakeholders, aims to provide long-term legal certainty for the digital asset market.
A primary objective of the CLARITY Act is to resolve the jurisdictional overlap between the Securities and Exchange Commission (SEC) and the Commodity Futures Trading Commission (CFTC). The bill proposes to codify the classification of several major digital assets—including Bitcoin, Ethereum, Solana, and XRP—as digital commodities. By placing these assets under the statutory oversight of the CFTC, the bill seeks to prevent future regulatory reversals and provide a stable environment for institutional participation.
A significant portion of the upcoming markup will address the stablecoin yield compromise reached by Senators Thom Tillis (R-NC) and Angela Alsobrooks (D-MD). Under the current draft, Section 404 would prohibit crypto platforms and issuers from offering passive yield or interest on stablecoin balances. This provision was introduced to address concerns from the traditional banking sector regarding potential deposit flight into digital assets. However, the bill permits activity-based rewards that are narrowly tied to payments, transfers, or specific platform utility.
The restriction on passive yield has met with resistance from major industry players. Coinbase and Circle, which reported approximately $2.75 billion in combined revenue from stablecoin reserves in 2025, have raised concerns that the current language could impact their business models. Coinbase Chief Legal Officer Paul Grewal stated that while the firm supports the bill's provisions for decentralized finance (DeFi) and developer protections, the wording regarding rewards must be carefully defined to avoid overreach by future regulators. The act explicitly protects software developers and non-custodial protocols from being classified as financial intermediaries.
The CLARITY Act arrives at the Banking Committee with prior momentum, having passed the House of Representatives in July 2025 with a 294–134 bipartisan majority and clearing the Senate Agriculture Committee in January 2026. Senator Bernie Moreno has emphasized the urgency of the May timeline, noting that the legislative window will narrow significantly as the 2026 midterm elections approach. The Senate is scheduled to return from its current pro forma session on April 13 to begin the final push for the bill's advancement.