THE GIST
Our analysts just identified a stock with the potential to be the next Nvidia. Tell us how you invest and we'll show you why it's our #1 pick. Tap here.
The Digital Asset Market Clarity Act (CLARITY), a bill that would create clearer federal rules defining the SEC's and CFTC's jurisdictions and force public officials, including the President, to divest from crypto-related business holdings just got postponed…again.
This comes after countless promises from President Trump dating back to the 2024 election, when he said he wanted the U.S. to become the "crypto capital of the planet" and a "Bitcoin superpower." That vow didn't pan out, leaving a whole syndicate of hobbyists, meme-coin traders, and committed devotees trying to change global finance holding the bag.
WHAT HAPPENED
Senate Majority Leader John Thune, a South Dakota Republican, broke the bad news to the crypto industry late Thursday.
"Dems are insistent on no CLARITY vote," Thune's office said, per American Banker. "I worked with sponsors of the bill. Senator (Cynthia) Lummis was great, and we're getting that queued up first thing when we come back."
The Senate is scheduled to continue its quest to pass the bill on September 14, leaving the crypto industry and companies like Coinbase and Circle hopeful.
COIN surged 5% Friday, though it's down 35% this year, while CRCL was up almost 6% in intraday trading but down 20% year-to-date.
Faryar Shirzad, chief policy officer at Coinbase, said he's disappointed about the delay, but appears to believe the "direction of travel" is "clear."
"The Trump Administration's financial regulators continue to use the authorities they have to provide greater clarity and enable responsible adoption of blockchain technology," Shirzad wrote on X early Friday morning. "America does best when it sets a clear direction and gives entrepreneurs and institutions the confidence to invest, build, and compete here."
September, he believes, "is the time to finish the job."
One stock. Nvidia-level potential. 30M+ investors trust Moby to find it first. Get the pick. Tap here.
WHY IT MATTERS
Trump is seemingly the only one who's gotten rich as the crypto sector took a nosedive since the start of his second term. He reported earning at least $1.4 billion in 2025 from crypto and meme-coin-related businesses, per his latest financial disclosure.
The problem for the CLARITY Act is political. Republicans, who hold 53 Senate seats, don't have enough votes to override the 60-vote filibuster. The bill needed at least seven Democrats to get on board. They got zero.
There's also heat from the banking sector, with major trade groups declaring the bill is vague about interest on stablecoins, triggering warranted fears of a doomsday deposit flight.
Democrats also want forced divestiture of crypto projects while public officials and the President are in office. The problem is that divestiture would allow President Trump to potentially defer paying federal taxes on his reported $1.4 billion from his crypto-related businesses. World Liberty Financial, which Bloomberg reported made Trump more than $594 million, and CIC Digital LLC, Trump's "meme-coin business," generated $636 million in income.
Trump's no stranger to lowering his tax bill, either. The New York Times published two major reports about Trump evading taxes in the past. In 2016 and 2017, his federal income tax bill was $750. The average American worker or middle-income earner pays around $5,200 to $6,200 after refunds, standard deductions, and credits per year.
As far as CLARITY "protecting consumers," something Shirzad seems to believe it would do, it's too little, too late. WLFI investors have lost around $674 million and some estimates of up to as much as $3.81 billion in the $TRUMP meme coin, as well as $600 million in associated ventures such as ALT5 Sigma and American Bitcoin, the U.S.-based Bitcoin mining and treasury management company co-founded by Eric Trump and Donald Trump Jr., according to multiple media reports.
WHAT'S NEXT
It's hard to imagine the Democrats don't take the opportunity to connect the devastation these retail investors have faced the past year with the fact that if CLARITY passes with these deferments, Trump will have gotten away with everything.
Trump's polling numbers are abysmal. CNN's latest Trump disapproval rating has him at 63%. If the Dems want to stick it to Trump and a cohort he promised the world, they simply have to hold the line and demand Trump can't get away with the one thing he always has. This makes the vote in September far from a sure thing.
