According to TechFlow TechFlow, on May 2nd, Alex Thorn, Research Director at Galaxy Research, stated that the US crypto market structure bill, the CLARITY Act, has entered a crucial legislative phase. With the Senate's key compromise on stablecoin yields officially released, there are positive signs for the bill's progress. The Senate Banking Committee may begin formal review as early as the week of May 11th. The new proposal explicitly expands the scope of stablecoin yield restrictions from issuers to third-party platforms, including crypto exchage such as Coinbase. It stipulates that yields cannot be paid solely for users holding stablecoins (i.e., idle balances), nor can rewards be distributed in a form that is economically or functionally equivalent to bank deposit interest.
Alex Thorn points out that if the Banking Commission’s review is delayed until after mid-May, the probability of completing legislation in 2026 will decrease significantly. If it fails to pass this year, the complete legislation on the crypto market structure may be postponed to 2030 or even longer. Currently, the probability of it being formally signed into law in 2026 is about 50%, or even lower.
The Clarity Act was passed by the House of Representatives in July 2025 with a high vote of 294 to 134. Its core provisions include clarifying the regulatory boundaries between the SEC and CFTC on digital assets, establishing a path for token de-securitization, and formally incorporating digital goods intermediaries into the federal regulatory system. Currently, the Senate is still coordinating issues such as DeFi provisions, regulatory exemptions for non-custodial developers (BRCA), ethical provisions for government officials holding crypto assets, and the SEC's regulatory authority.
