Treasury Secretary Bessent Pushes for Summer Passage of Crypto Clarity Act, Confirms Progress on Strategic Bitcoin Reserve

Treasury Secretary Scott Bessent is pushing for the Senate to pass the Clarity Act, a major crypto regulation bill, by this summer, while also confirming progress on the U.S. Strategic Bitcoin Reserve. The bill faces a tight legislative calendar, disputes over an ethics provision targeting President Trump, and strong opposition from the banking industry over rules that would permit "activity-based" rewards on stablecoins.

Clarity Act Senate floor timeline

• ▪The U.S. currently holds an estimated 328,372 BTC in its reserve, sourced from criminal forfeitures and seizures
• ▪The U.S. Strategic Bitcoin Reserve was established by a March 6, 2025 executive order from President Donald Trump
• ▪The BITCOIN Act, sponsored by Sen. Cynthia Lummis, would authorize the Treasury to purchase 1 million BTC over five years for the reserve
• ▪The Clarity Act has been formally offered for the U.S. Senate calendar, with about eight legislative weeks remaining before the summer break
• ▪Treasury Secretary Scott Bessent confirmed the department is "proceeding with all deliberate speed" to establish the Strategic Bitcoin Reserve
• ▪Treasury Secretary Scott Bessent urged the Senate to pass the Clarity Act, a major crypto regulation bill, during the summer of 2026
• ▪A delay in passing the Clarity Act could push comprehensive crypto regulation to 2030

Competing legislative priorities

• ▪The Clarity Act must compete for Senate floor time with must-pass bills concerning the Foreign Intelligence Surveillance Act (FISA) and immigration enforcement
• ▪Other legislative priorities competing with the Clarity Act include a housing bill, the farm bill, and the National Defense Authorization Act
• ▪The legislative calendar is constrained by the upcoming November midterm elections and a focus on budget bills before the end of the year

Trump ethics provision negotiations

• ▪The ethics provision is considered a "dealbreaker" for Senate Democrats
• ▪Negotiators are reportedly considering a "runway period" that may not force President Trump to immediately divest from his crypto interests
• ▪A key dispute in the Clarity Act negotiations is an ethics provision that would ban government officials, including President Trump, from having personal stakes in crypto

Senate committee reconciliation issues

• ▪The Clarity Act passed the House of Representatives and advanced from both the Senate Banking and Agriculture committees
• ▪The Senate Banking Committee passed its version of the Clarity Act by a 15-9 vote
• ▪The Clarity Act requires 60 votes to pass the full Senate
• ▪The versions from the Senate Banking and Agriculture committees must be consolidated into a single bill before a full Senate vote

Banking industry lobbying opposition

• ▪Section 404 of the proposed Clarity Act bans passive, savings-account-style interest on stablecoins but permits "activity-based" rewards
• ▪Coinbase is partnering with synthetic dollar protocol Ethena to offer yield products that may qualify as permitted "activity-based" rewards
• ▪JPMorgan Chase CEO Jamie Dimon stated that banks "will not accept" the bill if it allows crypto firms to effectively pay interest on stablecoins