Crypto▲ Bullish
Bitwise CIO: Crypto advances even without Clarity Act
Bitwise CIO Matt Hougan says crypto markets will advance even if the Clarity Act misses the Senate's August recess deadline, with regulators and industry adoption filling the gap.
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Crypto markets will continue advancing even if Congress fails to pass the Clarity Act before the Senate's August recess, according to Bitwise Chief Investment Officer Matt Hougan.
In a Tuesday report, Hougan described this week as a critical period for the legislation, which would establish a US regulatory framework for digital assets and divide oversight between the Securities and Exchange Commission and the Commodity Futures Trading Commission.
Senators would need to file for cloture by Wednesday for the bill to have a realistic chance of receiving a vote before lawmakers leave Washington, Hougan said. The Senate's official schedule lists a state work period from Aug. 10 through Sept. 11.
Public Senate floor updates through Wednesday afternoon showed cloture filings for government funding legislation, a college sports bill, and several nominations. The Clarity Act was not among them. Hougan said the bill could still return for consideration later this year.
The best outcome for the industry would be for Congress to pass the legislation, which he expects would support a new crypto bull market. Missing this week's deadline would not necessarily kill the bill, Hougan argued. The legislation could enter what he called a "walking dead" phase, with supporters continuing to pursue passage when the Senate returns in September or through a broader legislative package later in the year.
The Clarity Act passed the House in July 2025 and advanced through the Senate Banking Committee in May 2026. It was placed on the Senate legislative calendar in June, making it eligible for floor consideration. The bill would still need to clear the Senate, be reconciled with other versions, and receive presidential approval before becoming law.