The long-anticipated Clarity Act, regarded as a breakthrough for digital asset regulation in the United States, has returned to the top of the legislative agenda in Washington. According to a report released Wednesday by JPMorgan, the act has reached an advanced stage in its drafting process, with the number of outstanding disagreements now significantly reduced.
Key sections nearing consensus
JPMorgan’s analysis indicates that recent discussions between lawmakers and regulatory agencies have clarified major points of the Clarity Act. A senior policy official highlighted that only two or three of the original twelve contentious topics remain unresolved. Notably, the parties are reportedly close to reaching an agreement on rewards associated with stablecoins.
The Clarity Act seeks to provide a definitive regulatory framework for digital assets across the U.S. It focuses on the scope of authority for the Securities and Exchange Commission (SEC) and the Commodity Futures Trading Commission (CFTC), as well as the regulatory treatment of stablecoins and decentralized finance (DeFi) platforms within the wider financial system.
Signals from senators involved in the process have been optimistic. A Senate advisor closely involved with the legislation said the bill could be finalized “very soon,” and expressed confidence that remaining uncertainties—particularly concerning DeFi oversight and token classification—would also be settled in the near future.
Banks express stablecoin concerns
One of the most contentious parts of the bill involves whether stablecoin issuers will be allowed to offer rewards akin to interest to their users. Banks remain wary, arguing that such reward structures could carry risks similar to deposit-taking. Nonetheless, JPMorgan’s report noted that the latest proposals might secure backing from both crypto firms and traditional financial institutions.
There has been notable progress in discussions on stablecoin rewards, and it appears the legislation could bridge the gap between different stakeholders, according to policy experts following the process.
Political calendar brings new uncertainties
As consensus builds around the bill, several risks still linger. The final text of the Clarity Act has yet to be published and no official vote has been scheduled. Some policy experts have cautioned that further delays may push the act into a more uncertain political landscape as the election calendar advances.
JPMorgan observed that ongoing uncertainty around the 2026 midterm elections, including the possibility of Democrats retaking a majority in the House of Representatives, has implications for the bill’s future. Should that scenario materialize, lawmakers warn that progress on crypto asset regulation could take a back seat to other political priorities.
Despite these challenges, industry participants are reportedly maintaining a collaborative approach. Reflecting on the process, one policy advisor remarked, “there’s no such thing as a perfect law,” underscoring the stakeholders’ commitment to achieving a practical, long-term regulatory framework.
If enacted, the Clarity Act would represent a milestone in integrating digital assets into the U.S. financial system, answering a longstanding call from the crypto sector for clear legislation.
