The Trump administration says it remains "fully committed" to passing the Clarity Act crypto bill in September, after Senate Majority Leader John Thune filed cloture to force a procedural vote. Republicans still need Democratic support to clear the Senate's 60-vote threshold, while Senator Cynthia Lummis pushes back on community banks' objections to the bill.
White House crypto advisor Patrick Witt said Tuesday the Trump administration is fully committed to passing the Clarity Act in September. As Executive Director at the President's Council of Advisors for Digital Assets, he said the bill is expected to reach a full Senate vote in mid-September.
Witt presses Democrats on delays
Witt warned that every delay from Democrats has pushed the United States further behind in the digital asset race, weakening the country's national security and denying law enforcement the tools needed to stop crypto crime. He argued that only legislation can provide durable rules, saying, according to CoinGape: "we also can't afford to wait forever."
He also called on Democrats to use the vote as a chance to shape crypto policy, adding that negotiations would continue in good faith up to the September vote. Separately, the SEC has scheduled a meeting for August 14 to consider new rules for crypto investment contracts under Chair Paul Atkins' regulatory framework.
Lummis rebuts community bank concerns
Some community banks have argued that stablecoins would drive deposits out of the banking system. Senator Cynthia Lummis countered that Bank of America and FDIC data show deposits rising this year, and that community banks outperformed the industry with 5% deposit growth.
Lummis said Section 404 of the Clarity Act bars stablecoin issuers from paying yield that resembles bank interest, which she argues protects community banks rather than harming them. Meanwhile, the Senate Banking Committee has built a nine-provision community bank package into the housing bill, offering regulatory, capital, and examination relief for banks under $10 billion in assets.
Cloture filed ahead of a September 15 vote
The Clarity Act failed to pass before the Senate's August recess, but Thune filed cloture on the bill to queue it for a vote when the Senate returns. The chamber is set to hold a procedural vote on September 15 at 2:15 PM ET, which would limit further debate if invoked.
Passage still requires 60 votes to overcome a Democratic filibuster, while Republicans hold 53 Senate seats. Senators will then have a 15-day window in session before attention shifts to the November midterm elections.
Source: CoinGape
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