CLARITY Act Update — 2026-06-05

The Digital Asset Market Clarity Act (CLARITY Act, H.R. 3633) is on the Senate legislative calendar (Calendar No. 423) as of June 1, 2026, after passing the Senate Banking Committee with a bipartisan 15-9 vote on May 14, 2026.

Key provisions:

• Establishes CFTC jurisdiction over crypto spot markets for "mature" blockchains (20% control threshold)
• SEC retains oversight of digital asset securities and primary offerings
• DeFi software developers exempt from SEC/CFTC registration (Sections 309, 409)
• Prohibits Federal Reserve from issuing CBDC to individuals
• Secondary market reclassification: tokens traded on exchanges treated as commodities
• Regulation Crypto exemption allows raising up to $50M/year (max $200M) without full SEC registration

Timeline: Passed House (294-134, July 2025). Senate Banking Committee passed. Now on Senate calendar. Next steps: Senate floor vote, conference reconciliation, presidential signature. Target: July 4, 2026 (aspirational). JPMorgan says narrow window for passage this year.

SEC/CFTC Joint Final Rule (March 23, 2026): Application of Federal Securities Laws to Crypto Assets — provides classification framework. Stablecoins excluded from "security" definition under GENIUS Act.