CLARITY Act: What It Means for Ethereum, Solana & Altcoins

"the general consensus is that the delays we just mentioned won't be all that significant with many predicting that the act will still pass the Senate by the end of October."

"Senator Cynthia Lumis had previously named Thanksgiving as a target date, but in early September said that this 'might be too optimistic, suggesting it might not happen until 2026.'"

"she also added that quote, 'It's really important to me that we get this done by the end of the calendar year.'"

"According to Poly Market, the chances of the Clarity Act being signed into law by the end of 2025 is just 31%."

"If everything proceeds smoothly even after the short government shutdown, we can realistically expect the Clarity Act to be signed into law by the end of the year."

"if politicians continue to butt heads about the bill or anything else for that matter, then a likely scenario would be that the bill will instead pass in early 2026."

"This rulemaking process is complex and includes drafting, public comment periods, revisions, and finalization. It could take several years before rules officially come into force and have full legal effect."

"this would almost be guaranteed to cause prices to crash. It could even become a key catalyst that kickstarts the next bare market."

"it wouldn't be long before a new piece of legislation would take its place. Thankfully, crypto regulation has become a bipartisan issue, and politicians are hyperfocused on creating fair rules for the industry."

"Once the guardrails are in place, you could bet that we'll see a huge surge in crypto innovation, which will send the altcoin market skyrocketing."

"And it's like being pregnant for 4 years, you know, please let it happen. Senator John Kennedy echoed this sentiment, saying that lawmakers shouldn't be rushing to advance a crypto market structure bill. In his words, quote, "I don't think we're ready. People that I talked to still have a lot of questions. I know I still have a lot of questions." Meanwhile, Senator Kristen Gillibrand is reluctant to put a deadline on the bill due to the looming government shutdowns that will inevitably cause delays. She says that quote, "The most important issue that Congress has to deal with right now is the fiscal cliff and added that it will be a time-consuming process." Translation: Crypto isn't really the priority right now. To add to this uncertainty, a planned markup hearing for a draft bill by the Senate Banking Committee was pushed back from September 30th to late October. Meanwhile, the Senate Agriculture Committee has yet to publish any draft legislation. And this is significant because both committees need to be able to support any bill addressing market structure before it can move to the Senate or the House of Representatives. All of this is precisely why analysts are less confident. According to Poly Market, the chances of the Clarity Act being signed into law by the end of 2025 is just 31%. Down from a high of 87% in mid July. So then a lot of mixed opinions. From our perspective, this could go one of two ways. If everything proceeds smoothly even after the short government shutdown, we can realistically expect the Clarity Act to be signed into law by the end of the year. However, if politicians continue to butt heads about the bill or anything else for that matter, then a likely scenario would be that the bill will instead pass in early 2026. If we had to guess, we'd say that this was the more likely outcome."

"Once Trump signs the bill into law, federal agencies like the SEC and the CFTC will need to write the actual regulations that the crypto industry will need to follow. This rulemaking process is complex and includes drafting, public comment periods, revisions, and finalization. It could take several years before rules officially come into force and have full legal effect."

"As such, they would quickly table new legislation that would make it across the finish line as soon as possible, if only to avoid the wrath of the president. At this stage, the most likely replacement would be the RFIA bill, but other draft legislation could also be considered in the future. By now, you'll know that the Clarity Act is highly anticipated and is seen as many as an incredibly bullish development for the crypto industry."

"Once the guardrails are in place, you could bet that we'll see a huge surge in crypto innovation, which will send the altcoin market skyrocketing."