Clarity Act Expected to Face Senate Vote Before August 7

The US Senate could vote on the Crypto Market Structure Clarity Act before August 7. On that day, the Senate is scheduled to go on recess.

Punchbowl News senior reporter Brendan Pedersen shared this on X (formerly Twitter). At the same time, he noted that the road ahead remains very challenging.

This comes after Senate Majority Leader John Thune said on Friday that he doesn’t expect legislation to pass before the recess. According to Pedersen, while the bill may not pass, an initial Senate vote could happen before then.

Support for Clarity Act Improved Over the Weekend

While the Senate Republicans presented an updated version of the proposed legislation last week, the bill has not yet been filed for cloture. This is likely because the bill in its current version does not have the 60 votes required in the Senate.

Since the updated version was released, seven pro-crypto Democrats have openly opposed the Ethics provision as too weak. Republican Senator Thom Tillis also called for stronger ethics provisions.

However,  CryptoinAmerica journalist Eleanor Terret noted that Tillis is now leading bipartisan discussions for a new version of the ethics provisions. The challenge for Republicans would be negotiating new ethics deals that satisfy both Democrats and the White House.

Interestingly, some Republican senators have yet to confirm their support for the legislation. Terret noted that Senator Mitch McConnell is expected to remain absent, while Senators Rand Paul and Josh Hawley have not yet confirmed their positions. Both republican senators voted against the GENIUS Act.

Despite the uncertainty, there is still positive news: the National Fraternal Order of Police has now endorsed the legislation. This is the third law enforcement group to either back or withdraw opposition to the Clarity Act.

It could convince Democratic Senators Mark Wanner and Catherine Cortez Masto. The two have said their vote depends on whether the law enforcement concerns are addressed.

Clarity Act Heads Down the Wire Amidst Fears of Momentum Derailment

With cloture filing not yet done, experts have observed that any passage of the bill in this Senate session will require an extension. Penderson and Terrett both noted that passage of the legislation could require the Senate to delay its recess.

However,  Penderson does not expect that to happen, noting that such a time agreement requires unanimous consent. According to him, hardcore opponents of the bill, including Senator Elizabeth Warren and Chris Murphy, are unlikely to support such arrangements.

Meanwhile, crypto advocacy groups continue to push for passage of the legislation. The Crypto Council for Innovation (CCI) recently published a post to counter myths about the Clarity Act, while the Digital Chamber also noted that the Senate has ten days to pass the Act.

Despite the increasingly positive momentum surrounding the bill, the odds of passage this year remain below 40% on Polymarket, a sign the market is not yet convinced. Still, many expect an initial vote on the bill by August 3.