Senate Republicans Amend Crypto Bill Before Tuesday Vote

Senate Republicans released a revised version of the Clarity Act with 126 substantial modifications. The changes were made to address objections from Democrats and the banking industry ahead of a critical vote.

The measure requires 60 votes to clear a procedural hurdle as early as Tuesday. Previous versions of the bill stalled due to concerns over ethics, illicit finance, and impacts on traditional banking.

Key Revisions Target Ethics and Banking

Sensors Cynthia Lummis, John Boozman, and Tim Scott announced the new draft. It incorporates specific requests from the Democratic side to strengthen ethics restrictions. These provisions focus on limiting public officeholders' involvement in crypto ventures.

The updated text grants state attorneys general more enforcement power. It also includes new bank deposit protections and rules on affiliate trading. These additions aim to balance regulatory oversight with consumer safeguards.

Industry Opposition Persists Over Stablecoin Rewards

The banking industry remains opposed to provisions allowing crypto companies to offer rewards on stablecoins. Banks fear this will increase competition for customer deposits. This disagreement remains a significant obstacle to passing the legislation.

Crypto industry advocates have spent hundreds of millions lobbying for the bill. They have intensified their efforts as the vote approaches. The outcome will determine the regulatory framework for digital assets in the United States.

Procedural Path Remains Challenging

The bill faces a difficult path in the Senate. It needs a supermajority of 60 votes to overcome potential procedural blocks. The revised draft is an attempt to secure the necessary bipartisan support.

According to GN markets/crypto (en-US), the timing of the vote is crucial. The next few days will reveal if the amendments were sufficient to bridge the gap between the two parties. The market will closely monitor the Senate floor for the final tally.