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White House crypto advisor Patrick Witt criticized Senate Democrats for delaying the CLARITY Act. He accused them, including Chuck Schumer and crypto-supporting Democrats, of blocking a procedural vote before Congress's August recess. The bill's September passage chances diminished after a failed preliminary vote. In response, Republican Senator John Thune filed a motion for a key procedural vote immediately after the recess to keep the bill alive. Witt warned that if the Senate fails to vote by September 15th, the bill is likely dead. The September session is critical for the crypto industry, as further delay would increase uncertainty. The CLARITY Act aims to clarify regulatory jurisdiction between the SEC and CFTC for digital assets. Thune's motion starts a cloture process, which could allow a Senate vote soon after returning on September 14th, needing only a few days within the three-week session. The bill requires about 60 votes to pass. With 53 Republicans, at least 7 Democratic or independent votes are needed, assuming full GOP support. Legislators still disagree on issues like financial crime, stablecoin rewards, and ethics rules. Lobbying efforts are underway during the August recess to secure votes.

The White House accuses Democrats of obstructing the CLARITY Act, a key cryptocurrency bill. Patrick Witt, Executive Director of the President’s Council on Digital Assets, stated that Democrats did everything to prevent the bill from being passed before the Congressional recess, which began on August 7th. He warned that if the bill is not addressed by September 15th, it may never be approved. The CLARITY Act aims to provide greater legitimacy and opportunities for crypto projects in the U.S. However, Democrats express concerns over unresolved issues, such as the yield on stablecoins potentially drawing customers away from traditional banks and exemptions for decentralized projects from anti-money laundering and user verification rules. They also raise questions about a conflict of interest regarding former President Donald Trump, who reportedly earned approximately $1.4 billion from crypto ventures in 2025 and is promoting the bill. Republicans pushed for a vote before the recess, while Democrats insisted on resolving outstanding issues first to avoid future corrections. An article in The Wall Street Journal criticized the bill as containing many "delayed-action mines," highlighting the partisan divide. Witt dismissed the Journal's coverage as unworthy of attention, claiming it echoes Wall Street banks' talking points.

The White House reaffirms its commitment to passing the CLARITY Act in September, despite a Senate delay pushing the vote until after the August recess. The administration's top crypto policy official stated negotiations with Democrats will continue up to the September vote. A key procedural cloture vote requiring 60 votes is expected in mid-September to advance the bill, which aims to create a federal regulatory framework for digital assets, classifying tokens and overseeing trading platforms. However, unresolved disagreements remain, including Democratic demands for stricter ethics rules related to Trump-linked crypto interests and banking industry concerns over stablecoin reward provisions.

The White House remains committed to passing the CLARITY Act in September, despite the Senate's postponement of consideration until after the August recess, according to a senior advisor. Patrick Witt, Executive Director of the President's Council of Advisors on Digital Assets, stated the administration will continue negotiations with Democrats "through the September vote," adding that "we also cannot wait forever." The Senate is expected to hold a cloture vote in mid-September, a procedural step requiring 60 votes to bring CLARITY to a final vote. The CLARITY Act aims to establish federal rules for the digital asset market, including criteria for classifying crypto tokens as securities or commodities and regulations for trading platforms. Several contentious issues remain unresolved ahead of the vote. Senate lawmakers have not yet announced decisions on Democratic demands to tighten ethics rules for crypto projects connected to former President Trump. Additionally, banking groups are seeking changes to rules that could allow companies to pay rewards to stablecoin holders.

The White House will meet with crypto and prediction market executives on August 19, though details remain undisclosed. This occurs as the Senate delays a vote on the Digital Asset Market CLARITY Act until September 14, despite earlier approvals by the House and Senate Banking Committee. Key Senate negotiations are stalled on two main issues: a bipartisan government ethics package concerning crypto holdings for officials, and disputes over allowing reward systems for stablecoin usage. Banks oppose such rewards, fearing deposit outflows, while crypto firms advocate for incentives. Major banking groups have urged revisions to the bill's Section 404, arguing its current language could permit interest-like rewards.